PL Wealth remains bullish on Indian equities in the long term but has advised investors to stay in select stocks given near-term risks like crude oil and weak rupee. There is a possibility of turmoil in the market.
PL Wealth’s long-term view on India
New Delhi [भारत]July 27 (ANI): PL Wealth remains positive on Indian equities in the long term. The reasons behind this have been attributed to the country’s pillars like “demographic profile, rising domestic investment, a deepening financial system, diversified supply chain and improving energy security”.
PL Wealth’s latest Market Outlook – July 2026 report said India’s underlying economic engine is running stably, even as rising crude oil prices, a weak rupee and persistent overseas selling pose near-term headwinds. For this reason the firm has recommended a selective approach to equities.
The report cited a provisional GDP of 7.7 per cent for FY26, while the Reserve Bank of India is now projecting a slower growth rate of 6.6 per cent for FY27. Manufacturing and services activities remained expansionary in June 2026, with Purchasing Managers’ Index (PMI) readings of 54.2 and 57.4, respectively, while credit growth stood at 17.7 percent year-on-year.
Near-term risks and market volatility
At the same time, the report indicated rising inflation risks, saying the central bank has raised its FY27 consumer price index (CPI) estimate to 5.1 per cent. Persistently high crude oil prices, unresolved tensions in West Asia, and the rupee structurally weakening towards 94.5 to 95 levels against the US dollar have been cited as key reasons for markets to remain volatile in the coming months.
“India is entering FY27 from a comparatively strong position, but this should not be taken for granted – oil, the rupee and an unpredictable Fed under new leadership are all live risks,” said Inderbir Jolly, CEO, PL Wealth.
He further said, “RBI has taken a pause, yet not the markets; it calls on investors to prioritize quality and sustainability rather than chasing broad indices.” “Nothing from the past quarter changes our medium-to-long-term confidence in India, which is underpinned by demographics, domestic investment and deepening financial markets.”
The report on the macroeconomic environment noted that the central bank kept its repo rate at 5.25 percent during its June meeting, while raising its inflation forecast. Foreign exchange reserves stood at USD 667 billion, covering about 10.5 months of imports, and Goods and Services Tax (GST) collections for June 2026 rose 13.9 per cent year-on-year to Rs 1.95 lakh crore.
advice for investors
Nifty 50 closed at 23,946 at the end of June 2026, registering a year-on-year decline of 6.5 percent. For a short term of up to six months, the report expects a range-bound equity market shaped by energy prices, currency movements and corporate earnings surprises, favoring a phased entry into large-cap and mid-cap stocks rather than lump sum investments.
On fixed income, PL Wealth sees the best risk-adjusted returns in short-end instruments spanning three months to three years, while gold is expected to trade in the range of $3,900 to $4,400 an ounce in the near-term. (ANI)
(Except for the headline, this story has not been edited by Asianet News editorial staff and is published from a syndicated feed.)