Read more about Credit Suisse cuts nominal growth forecast over covid second wave on Business Standard. Citing the impact of the second wave of the pandemic over the economy and consumer sentiment, Swiss brokerage Credit Suisse has lowered its nominal GDP growth forecast by 150-300 bps
MUMBAI: Citing the impact of the second wave of the pandemic over the economy and consumer sentiment, Swiss brokerage Credit Suisse has lowered its nominal GDP growth forecast by 150-300 bps to 13-14 per cent, but expects a stronger recovery in the second half as it sees the lockdowns having limited impact on tax collections.
Last month, Neelkanth Mishra, the co-head of equity strategy for Credit Suisse Asia Pacific, and India equity strategist, had told PTI that he expected the real GDP to fall to 8.5-9 per cent in FY22 due to the more severe pandemic attack.
The virus case load has crossed the 25-million mark, death toll from the same is nearing 2.9 lakh mark, which is one of the highest in the world as the test positivity rate has been around 15 per cent for long.
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Use equity corrections as buying opportunity: Credit Suisse India
April 22, 2021
Prefers cyclicals over defensive, mid-caps against large caps
Credit Suisse, a global wealth management firm, anticipates some selling pressure in the Indian equity markets in the coming weeks and has recommended that this could offer a good buying opportunity from a 6-9 month perspective.
“While the second wave of Covid-19 pandemic in India and subsequent restrictions may lead to some growth worries, we believe corporates are better placed this time. We do not expect a nationwide strict lockdown to curb the pandemic; instead policymakers could resort to partial lockdowns, faster vaccine approvals and strengthening of the healthcare infrastructure,” said Jitendra Gohli, Head of India Equity Research and Premal Kamdar, Equity Research Analyst at Credit Suisse Wealth Management India in the firm’s latest India Market Outlook Report.