MUMBAI Nov 29 Goldman Sachs raised India to 'overweight' from 'market-weight', citing growth recovery and inflation moderation ahead.
The investment bank pegged December 2013 Nifty target at 6,600 points.
"Reform initiatives and changes in government leadership this fall have created a sense of optimism among the domestic investor base for the first time in over a year, and the risk of policy missteps in 2013 has been lowered," said Goldman Sachs in a report.
The investment bank added that MSCI India's valuation was well below the 5-year average of 14.9 times, affording an attractive entry point into one of the stronger structural growth markets in the region.
Nifty ended 1.62 percent up at 5,727.45 points on Tuesday. (Reporting by Abhishek Vishnoi and Manoj Dharra; Editing by Subhranshu Sahu)
Trending On Reuters
- Lackluster U.S., China sales drag on Ford Motor profit, shares tumble
- Fall in Volkswagen brand profit shows lasting effects of scandal
- Shell misses expectations as earnings plunge on oil, BG costs
- SoftBank sees sharp recovery for Sprint, flags much investment for ARM
- Facebook shares hit record high as it beats estimates again