Tag: JPMorgan

The Indian rupee appreciated against the US dollar on Friday, as the inclusion of India in the JPMorgan bond index boosted investor sentiment. The rupee settled 19 paise higher at 82.94 (provisional) against the previous close. Analysts expect India’s inclusion in the bond index will lead to a direct inflow of USD 20-25 billion in the debt over the 18-21 months. However, the impact of the announcement may not be sustainable amid a rally in the greenback and foreign fund outflows from domestic equities.

JPMorgan Chase & Co. expects India to raise at least $30 billion annually through primary and secondary share sales in 2024 and beyond, driven by strong corporate earnings, robust economic growth, and demand from local and foreign investors. In contrast, India’s IPO activity has slowed down this year, but a couple of $1 billion-plus IPOs could return after the country’s federal elections next year. Overall, the outlook for India’s equity markets is positive, as the country benefits from investors fleeing other Asian emerging markets such as China.