“Given that macroeconomic and geopolitical risks are still significant, and the US yields have started to rise again after the US Fed reconfirmed its hawkish stance, there is a possibility of some correction in India equities in the near term. However, we believe it could be temporary and any sharp correction could be a good buying opportunity as India’s medium-term outlook is still attractive,” the global brokerage said in a report.
In the near term, Credit Suisse analysts prefer banks and pharma, as well as sectors that could benefit from higher consumer spending ahead of the festive season.
“We continue to maintain our mild overweight positions in mid-cap companies in a portfolio context,” said Jitendra Gohil, Head of India Equity Research, Credit Suisse Wealth Management,…