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Assocham survey: India Inc feels bull run in markets justified
New Delhi: According to an Assocham business barometer survey covering 100 top CEOs and MDs, 60 per cent of them felt the current bull run was "justified as the economic fundamentals are in place".

Majority of these CEOs did not consider the stock market overheated at 7800 points and attributed the bull run to persistent inflow of foreign funds, robust corporate results and globalisation of the Indian economy.

Since May 1 the sensex has shown an increase of over 25 per cent, gaining 1600 points to reach a peak of 7800.

Assocham president M K Sanghi said that the bull run represented an optimistic view, with all the negative factors like the unstable global crude oil prices, as well as Mumbai floods being shrugged off by the investors.

A whopping 75 per cent of the respondents said that they had anticipated a picking up of pace in the equity market but the current bull run was much higher than their expectation.

"Lack of any alternative investment opportunity, as lucrative as Indian equity market, makes India favourite among global investors," the survey said.

Those surveyed were confident that foreign institutions would remain invested in the Indian markets for a reasonably long term, believing that barring any major setback, foreign funds would continue to flow into India for at least another year.
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