Cheap index valuation isn't inspiring

Cloudy earnings outlook in the coming quarters is likely to play spoilsport

The Reserve Bank of India (RBI) has just announced extraordinary measures to help maintain economic activity during the pandemic. The central bank has cut policy rates by 75 basis points, alongside a moratorium on various loans, and a sequence of other measures designed to improve liquidity and transmission of rate cuts to commercial rates. It has also cut the cash reserve ratio, which frees more bank resources for commercial credit. 

The RBI refrained from concrete projections. It believes, probably correctly, that inflation will fall due to low demand. It sees a high risk (guaranteed really) that the global economy, or several