Market Outlook – Equity Market
Equity market rally is spreading and is becoming even more broad-based, as reflected by small cap index touching all time highs. Several companies in small and mid cap space that have been long mis-appraised and undervalued, are finally getting recognised. Despite COVID environment, we saw remarkable recovery in corporate earnings in 4th quarter of FY21 across sectors like autos, cement, technology, textiles, specialty and commodity chemicals. Steel in metals basket reported super cycle earnings driven by global price recovery. Engineering and capital goods showed clear signs of rising order book and indicates beginning of capex cycle recovery.