Indian equities' short-term outperformance

There's no dearth of high-quality corporate stories to keep investors interested, but a drop in valuations is likely if the international outlook worsens further

Every major stock market has suffered net losses over the last year, but the Indian market has suffered less than most others. The S&P 500 index—the broad gauge of the US stock markets— is down 17 per cent. Frankfurt’s DAX index is down 21 per cent. The Shanghai Composite is down 15 per cent. But the Nifty is down only 4 per cent and even its US dollar-denominated twin, the Defty, is down only 12 per cent despite the depreciation in the rupee during this period. Is there a clear explanation for the relative outperformance of Indian equities? Looking a