The World This Week – 21st Aug 2020 to 28th Aug 2020
Indian Equity Summary · The BFSI sector staged a sharp recovery last week; the BSE Bankex was up ~10% on wow basis which lent support to the benchmark indices Ø Sensex /Nifty to close in green for 2nd consecutive week by ~2.5%. The market sentiment remained positive on the back of US Fed Chairman speech that lower interest rate trajectory may continue for longer time, thus a higher probability of inflows in the emerging markets, coupled with RBI Governors statement the central bank has not exhausted its ammunition to deal with the pandemic-induced stress. · Going forward, global factors like development on the US -China relationship front , India Ø & China border issues and domestic factors like the monsoon trajectory and remaining earnings season ; will continue to dictate the trend of the domestic equity market. We expect the trading range for Nifty between 10900-11,400 in the near term. Indian Debt Market · Government bond prices moved nort