Foreign brokerages bullish on Indian markets; growth stocks to lead

Most brokerages globally and domestically acknowledge that 2018 is likely to be a year of high earnings growth

The wide-based Nifty is expected to touch 11,500 by December this year, while the benchmark BSE Sensex will be at around 37,000, driven by strong earnings growth, said Deutsche Bank in its recently published report. 

The brokerage’s bullishness stems from the expectation of double-digit earnings growth and forms the keystone of its positive view on the market in 2018. "Our economists expect gross domestic product (GDP) growth to recover from 6.6 per cent in the current fiscal year to 7.5 per cent and 7.8 per cent over FY19 and FY20, respectively," the report said adding that "we expect Nifty earnings to