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Market Rally Unlikely Without Major Catalyst; Bond Yields to Stay Firm: AlphaGrep MF CEO
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Moneycontrol•24-09-2026, 06:55
Market Rally Unlikely Without Major Catalyst; Bond Yields to Stay Firm: AlphaGrep MF CEO
- •AlphaGrep Mutual Fund CEO Bhautik Ambani advises caution at current market levels due to global variables and lack of a significant catalyst for a sharp rally.
- •Consolidation is a more realistic expectation than new highs, with bond yields likely to remain firm, impacting FII flows into emerging markets.
- •India's market structure is more resilient due to steady domestic flows, and elevated yields offer opportunities in debt for diversified portfolios.
- •Oil prices, high interest rates, and geopolitical tensions are among several global pressures that need to ease for a clearer earnings recovery.
- •Opportunities lie in specific sectors and stock selection, emphasizing alpha over beta for active managers in a consolidating market.
Key Questions Answered
Bhautik Ambani believes a sharp market rally is unlikely due to simultaneous global variables, making a consolidation phase and careful sector selection more realistic than a run to new highs.
High global yields reduce the relative appeal of emerging market equities, which could cause foreign institutional investor (FII) flows to remain volatile in the near term.
Ambani views it as a close call where the RBI must balance domestic growth against rising inflation risks from oil and currency, making a pause with a hawkish tone or a rate hike plausible.
