Gold Silver Reports (GSR) – Expect Earnings Growth In High Teens This Year: Mark Matthews – Mark Matthews, head of research (Asia) at Bank Julius Baer in a conversation, Indian companies to report robust earnings this quarter.
Highlights of conversation:
🔥 U.S. yields have been twice as high on average
🔥 Stocks won’t react until yields get to 5-6 percent
🔥 U.S. bond yields highest amongst developed economies
🔥 Inflows to continue in global equities as U.S. is expensive
🔥 Domestic economy drives Indian market
🔥 Less subject to imports/exports from other parts of the world
Net sellers in flows since H2CY2017
🔥 Oil price rise, government covering for OMCs’ losses, politics key factors
🔥 No strong conviction on any major currencies
🔥 Dollar well supported by yield
🔥 Not sure if dollar will skyrocket further
🔥 RBI’S hawkish tone, later hikes should help support rupee and higher yields
🔥 Neutral on oil, expect it to remain at $65 per barrel levels
🔥 U.S. sanctions on Iran, OPEC and Russia production cuts key factors
🔥 Inventories in developed countries back to zero
🔥 See no reason for oil prices to collapse
🔥 Do not expect crude to go higher
🔥 BJP will continue to push reforms if it wins
🔥 Robust earnings this year, meeting expectations
🔥 Have strong domestic fund flow