Nifty Returns

While acknowledging that valuations appear stretched, Standard Chartered noted that Nifty's 12-month forward P/E ratio of 20.6x is above its long-term average of 18.2x but still below recent peaks.

Indian households, Desai wrote, are still under-invested in equities. At cost, only 3 per cent of the household balance sheet is in equities, excluding equity holdings of founders.

The stock performance of restaurant aggregator and food delivery platform Zomato could improve following the removal of the share sale overhang

Buying in index major Reliance Industries, Infosys and ITC also helped markets extend their previous day's gain

There is deep value in many PSU stocks as they have had significant valuation derating over the last 10 years

Equity earnings normally grow at a premium over nominal GDP growth