New Delhi, May 24: The stock market benchmark Sensex may soar past the 18,000-points level by the end of the year, propelled by stocks belonging to the financial, capital goods, energy and auto sectors, Citigroup said here today.
“The country’s rising dependence on global capital flows, and global volatility, will raise the market beta, but looking through, we raise our Sensex target index to 18,100,” Citi said in a research note.
The Bombay Stock Exchange’s 30 share benchmark Sensex is trading 5.69 per cent lower so far this year. The index ended today’s trade flat at 16,469.55 points up 24 points, while its level on December 31, 2009 was 17,464.81.
“India is trading below its long-term PE and PBV averages (and) is no longer expensive in absolute terms, and returns are looking up too.
–Agencies