Deutsche Bank expects Sensex at 22,000 by year end

Deutsche Bank has forecast that the key domestic equity index of the Bombay Stock Exchange, Sensex, might touch the 22,000-mark by the end of this year. Projecting the index levels, Abhay Laijawala, head of Deutsche Bank’s India equity strategy team, said, “We have an overwhelmingly positive outlook and believe that consumption plays, such as auto, metal, paints, private sector banks, infrastructure and software sector will perform well during the year.”

The 30-share Sensex was last traded at 16,772. The index had touched a 52-week high of 17,790 on January 6, 2010 and since then fell nearly 10 per cent on global cues, before it began a rally prior to the announcement of Union Budget last week. The all-time high for Sensex had come a year back on January 10, 2008 when it was traded at 21,207.