Rashesh Shah, Chairman & CEO, Edelweiss Group has expressed views on current ongoing bullishness in market and his views on the subject are as appended below:
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I think optimism is coming back. I think in the last year, especially the October to December quarter, there was extreme pessimism about India and the world and all. It had swung so badly to the other side that we are seeing optimism coming back. It's still cautious optimism. But I think investors are getting slightly more positive on India now. I think currently everything is being driven by global liquidity. Since the advent of long-term refinancing operation (LTRO), we have seen that liquidity in the world has eased off a lot. There is a huge amount of liquidity now. Liquidity is affecting sentiment and the asset prices and the potential earnings out of that. As long as LTRO is underway and for the next three-four months, we should see good global liquidity. India will benefit out of that. Along with that, the India factors like interest rates and inflation and some government policy action are all showing signs of optimism now. So, from where we were in calendar 11, I think with liquidity and improvement on the India front, for the next three-four months, you can afford to be optimistic now.