B Prasanna of ICICI Bank on US & emerging markets

Talking about global markets, Prasanna said, “As the US growth tapers off but doesn’t go into recession but at the same time the forward looking rate hikes have gone away and forward looking rate cuts have come in, so it’s like having the best of both world; you have a decent growth scenario in the US and a lot of liquidity availability because of quantitative tightening getting reversed as well as rate cuts happening. So liquidity is going to be abundant in the global markets and within the global market space money will chase the emerging market (EM) space and within the EM space it will come to the shores of India.”