Despite Volatility, Why Rakesh Vyas Believes The Indian Market Can Stay Resilient

Despite uncertainty surrounding energy prices, geopolitical tensions, and corporate earnings, market fundamentals remain relatively stable, according to Rakesh Vyas, CIO & Portfolio Manager, Quest Investment Managers. He expects overall earnings growth of around 11-12% for FY27, an improvement over the past two years of subdued performance. While short-term volatility may persist due to higher raw material costs and energy-related pressures, current market valuations appear reasonable. Vyas believes the likelihood of a deep market correction remains low, supported by improving macroeconomic conditions and strong credit growth. He also highlights RBI measures aimed at attracting foreign currency deposits, which could help stabilize the rupee, strengthen banking system liquidity, and support continued lending growth, providing a positive backdrop for the broader economy.