Chennai: Nifty to reach 19500, Sensex 64,500 by Dec 2023 : The Nifty of NSE is set to touch 19,500 and Sensex of BSE 64,500 by the end of next year, predicts Emkay Global Financial Services. Emkay Global expects the Nifty to touch 19,500 levels by December 2023 given the current situation.
“Absent major changes in global macroeconomic and geopolitical setup, Sensex at 64,500, up 7-8% from current levels,” the company said.
The growth in Nifty-50’s profit after tax (PAT) in CY23 will be largely driven by banks, automobile manufacturers and affiliates, Oil & Gas and IT companies, the company added.
While the movement of the dollar index, the depth and amplitude of a possible global slowdown/recession and the timing of the Fed’s pivot remain key factors that can influence markets.
At home, the RBI appears not to be too restrictive and is likely to follow the Fed’s moves. The period over which it remains on hold and eventually starts to cut rates will be closely watched by market participants, Emkay Global said.
According to Nirav Sheth, Managing Director – Institutional Equities, Emkay Global, the movement of the dollar index continues to be a cause for concern due to its sheer impact on many things. While the movement of the dollar index, the depth and amplitude of a possible global slowdown/recession and the timing of the US Fed’s pivot remain key factors that can affect the markets, the RBI does not appear to be too restrictive and will likely monitor the Fed’s actions. The period during which it will remain on hold and possibly start reducing rates will be closely watched by market participants.
“We expect further rate hikes by the US Fed and the RBI, which will strengthen the respective currencies. We expect RBI to have a long break till 2QCY23,” Sheth said.
Nifty Target 2022 December : Nifty to reach 19500, Sensex 64,500
Higher interest rates for a longer period and a sudden rise in Brent crude prices are potential challenges for the market in the next 6-12 months, said Sanjay Chawla, head of institutional research at Emkay Global.
“A government budget with high investment costs can accelerate investment; however, global and domestic growth uncertainty may act as a headwind. Given the current scenario, we see the Nifty-50 fair value around 19,500 by the end of CY23; we expect overall Nifty-50 earnings growth to be fairly resilient at around 15 per cent in CY23,” Chawla said.
Sanjay Chawla, Head of Institutional Research, Emkay Global Financial Services, said higher and longer interest rates and a sudden rise in Brent crude prices are potential challenges for the market in the next 6-12 months. A government budget with high investment costs can spur investment, but uncertainty about global and domestic growth can act as a drag.