Morgan Stanley says Indian market’s bull run is only getting started, here’s why

“The ongoing bull market compares well with history.

India has outperformed emerging markets in each of the previous five bull markets with an average outperformance of 52 percent versus 23 percent for this bull market, Morgan Stanley said.

“Given depressed earnings, P/B is a better metric than P/E for comparisons, in our view.

“If we exclude the 2003-08 bull market, the average duration of the other four bull markets is 72 weeks, compared with 64 weeks for the ongoing one.

“The average weekly return of 1.6 percent is still less than what we have seen in other bull markets and tells us that the apparently rapid pace of equity returns in the current bull market is nothing unique.

We went through an NPA cycle and we went through a lot of changes such as Jan Dhan, IBC, RERA, reforms in mining, labour and farm laws.

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