BNP Paribas sees Sensex at 50,500 in 2021; remains overweight on India

A common thread running between China and India, BNP Paribas said, is the focus on some long-range economic plans - targeted at boosting consumption in China and on supporting investments in India

BNP Paribas has maintained an overweight rating on Indian equities for calendar year 2021 (CY21) and expects the S&P BSE Sensex to hit 50,500 levels going ahead – up nearly 9.5 per cent from the current levels. Besides India, BNP Paribas remains overweight on China, Indonesia and Korea.

Among Indian stocks, it has included ONGC and Marico in its model portfolio and has dropped Britannia. After an expected contraction of 11.4 per cent in 2020, it expects India’s gross domestic product (GDP) to grow at 11.6 per cent in 2021 and at 5 per cent in 2022. Consumer price inflation