Rising crude oil prices have created a new challenge for the domestic market, making it more volatile every passing day. Most analysts on the street feel that it will be difficult for India to achieve desired growth unless crude rates simmer down. In an interview with CNBC-TV18's Mitali Mukherjee, Alok Sama, president and founder of Baer Capital said that crude is going to be a key issue for the domestic market to deal with and higher crude prices will create a negative impact on India’s growth.
“Crude may head to USD 150 per barrel or USD 200 per barrel in next two years,” he added.
Talking about India’s performance as an emerging market, he said that India has been an underperformer for past few months as the market has moved towards a bottom end of the trading range, mainly because of mounting crude prices and inflation. “The Nifty can be seen trading between 5000-6000 levels, while the Sensex will amble between levels of 17,000 to 20,000.” However, he also said that India may see solid performance going forward.
No comments:
Post a Comment