Geoff Dennis may tentatively rebuild positions in India amid growth prospects
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Citing improving economic fundamentals and a more stable currency outlook, independent emerging markets commentator Geoff Dennis, in an interaction with ETNow expressed his intent to gradually rebuild positions in India. Despite a challenging start to the year for Indian equities, Dennis believes the market presents a compelling opportunity for long-term investors. Dennis acknowledged that India’s high valuations and a weaker-than-expected GDP number contributed to the recent downturn. However, he expects economic growth to recover, supported by monetary and fiscal measures. “You have now got real interest rates, which are around 200 basis points, so there is scope maybe for more rate cuts eventually from the RBI. You got a tax cut coming through as well,” he explained, suggesting that these factors could create a more favorable investment climate. He added that the stability of the Indian rupee in the face of potential dollar strength is...