It is just the sheer supply of money coming into this market. Ever since liberalization started and FIIs were allowed to invest in India, we have seen this kind of volume of money. It is almost torrents of money, which is coming in.
Some of the predictions are that Bernanke will reduce interest rates further. If that were to happen, the sky is the limit.
And here I am thinking that Ben Bernanke cut interest rates in order to revive his country’s economy and not to feed our stock market.
In the short, medium and long-run, India looks very good. There is no question about it.
There you go. Apparently, we have a bullet-proof economy.
Source: Stick to your asset allocation: Chime Consulting