Home / Business / Money / Industrial recovery still away; like construction: HSBC

Industrial recovery still away; like construction: HSBC

Jitendra Sriram believes the inventory levels in housing market continue to remain high and therefore, it is too early to play realty as a setoral theme.

HSBC has turned neutral from underweight on India after the clear outcome of the Lok Sabha elections on May 16. According to Jitendra Sriram, MD and head of Research, HSBC India, the clear mandate with BJP coming to power is expected to turnaround India’s growth story.

He believes the catalysts are falling well in place for earnings recovery but the market may take a little breather now.

Speaking to CNBC-TV18 from the sidelines of HSBC Global Connection Conference, Sriram says the industrial recovery is still some time away. He, however, believes the domestic mutual fund industry is seeing flows after many years of slump. 

Furthermore, Sriram believes the inventory levels in housing market continue to remain high and therefore, it is too early to play realty as a setoral theme.

Going ahead, he expects to see more traction in activity for infra space like railways and roads. Sriram is also bullish on the construction sector and expects the industry to revive soon in south India.

Leave a Reply

x

Check Also

Rupee recovers 6 paise to 67.01

The rupee today recovered some lost ground by rising 6 paise to ...

Notes ban to have positive impact on economy

NEW DELHI: The government’s demonetisation move has led to widespread adoption of ...