Home / Markets / News / India pips EM peers in latest market uptick as US stimulus brings hope

India pips EM peers in latest market uptick as US stimulus brings hope

2020 underperformance narrows; Experts say going further outperformance could be a challenge

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Still on a year-to-date basis, India’s returns lag that of the EM by 360 basis points (bps)

3 min read Last Updated : Oct 15 2020 | 12:34 AM IST

The domestic markets have raced ahead of their emerging market (EM) peers in the latest uptick seen in global equities triggered by optimism around the US stimulus package. Since last month’s lows on September 24, the Nifty has rallied 11 per cent. In comparison, the MSCI EM index has gained only 7.4 per cent. The top three weights on the index — China, Taiwan, and South Korea — have gained between 3.6 per cent and 5.3 per cent.

“We reckon three factors — a differentiated policy response, strong corporate action through the pandemic, and an attractive starting point of relative valuations,

Topics : Domestic markets Emerging markets stock market Stimulus package Global economy

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