'JOSH' in markets! Anil Singhvi says FIIs focus more on Covid-19 vaccine than rising cases; eyeing Biden admin stimulus
Zee Business Managing Editor Anil Singhvi highlighted that FIIs focus is more on Covid-19 vaccine development news rather than rising cases of corona, Zero Interest rate in the US and expectations of a stimulus package from Biden Government. These 3 points are fuelling market enthusiasm and powering them to all-time highs as is clear from Nifty and Sensex numbers.
As stock markets in India and globally soared again today, Zee Business Managing Editor Anil Singhvi highlighted that FIIs focus is more on Covid-19 vaccine development news rather than rising cases of corona, Zero Interest rate in the US and expectations of a stimulus package from Biden Government. These 3 points are fuelling market enthusiasm and powering them to all-time highs as is clear from Nifty and Sensex numbers.
Anil Singhvi says that Strong FII buying will ensure that the strength in the market continues. Dollar inflows from FIIs are extremely strong looking at daily figures. FIIs did buying of as high as Rs 55000 cr of Indian Equities so far in the month of November.
FIIs का कोरोना के बढ़ते मामलों से ज्यादा वैक्सीन पर फोकस, अमेरिका में 0 ब्याज दर और बाइडेन सरकार से राहत पैकेज की उम्मीद ने बाजारों में भरा जोश- अनिल सिंघवी#EditorsTake #CoronaVaccine #JoeBiden #USMarket @AnilSinghvi_ pic.twitter.com/fvMIoXy6n5
— Zee Business (@ZeeBusiness) November 25, 2020
There are many reasons because of which FIIs are investing in Indian Equities:
1) In Spite of the rising number of corona cases, market participants believe that the Government will not impose lockdown restrictions again in India. Concerns are going to remain until next month or two until Vaccine is developed.
2) Companies in each and every country are trying to develop vaccines and are doing good progress. Most companies across the globe will be able to get the vaccine out soon. It is important to understand when the development of a vaccine will happen and how quickly it can reach the end user. Cadila Healthcare in India and many other companies in the US and Europe are working on this. Market Participants feel it may take 2 to 3 months for the vaccine to develop and be supplied to the public.
See Zee Business Live TV Streaming Below:
Singhvi highlighted there is expectation that the Biden Government may come out with a big stimulus package that will boost the Global Economy. The package will not only be bigger but also extremely attractive to boost the sentiments of people and participants. Strong liquidity flow will keep the markets upbeat. Investors need to understand one key aspect that the market is sensitive to negative news whether its a Bull market or Bear market and will react depending upon the situation.
In Bear Markets, companies disappoint with their results, their rating gets downgraded, and sentiments of participants are negative while in Bull market people are worried about higher valuations, investing at higher levels and other issues. So, issues are going to remain and investors need to be cautious and worry about their investments whether it is a bull market or a bear market.
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.
RECOMMENDED STORIES
Senior Citizen Latest FD Rates: Know what major banks like SBI, PNB, Canara Bank, HDFC Bank, ICICI Bank are providing on fixed deposits
Gratuity Calculator: Rs 38,000 as last-drawn basic salary, 5 years and 5 months of service; what will be gratuity amount?
EPFO Pension Schemes: Early pension, retirement pension, nominee pension and 4 other pension schemes that every private sector employee should know
Top 5 Small Cap Mutual Funds with best SIP returns in 1 year: See how Rs 25,000 monthly investment has grown in each scheme
Top 7 SBI Mutual Funds With Best SIP Returns in 1 Year: Rs 25,000 monthly SIP investment in No.1 fund has jumped to Rs 3,58,404
10:32 AM IST