India's markets may have rallied to historic levels, but investors may want to stay away from chasing the rally for now, says HSBC Private Banking, which is currently underweight on India.
As of Friday's close, both the Nifty 50 and S&P BSE Sensex sat close to all-time highs that were touched on Nov. 25, according to Refinitiv Eikon. "Our view at this stage is that a lot of the good news is already priced in to the Indian market as of now," James Cheo, chief market strategist for Southeast Asia at the firm, told CNBC's "Street Signs Asia" on Monday.and S&P BSE Sensex sat close to all-time highs that were touched on Nov. 25, according to Refinitiv Eikon. India's markets were closed on Monday for a holiday.
"I think as of now, it is appropriate to just be a bit judicious and not chase this rally that's ongoing especially in the Indian market," Cheo said. "That's why we put a slight underweight in our Indian equity exposure."
DejaVu