According to Raymond James strategist Matt Orton, equity investors need not worry too much about current market volatility, as today's session was more about positioning and geopolitical concerns. As reported by CNBC TV18, Orton believes investors can continue finding growth by focusing on sectors and stocks showing resilience, with earnings growth mattering most for equity markets. The strategist emphasizes that as long as earnings continue delivering strong numbers, investors can feel comfortable buying dips, which is exactly what Raymond James encourages its investors to do.
Orton addresses concerns about rising global bond yields, noting that while US 10-year yields have reached 4.7% and 30-year yields are above 5%, equity investors should not be overly worried. According to the Raymond James strategist, the challenge lies in the duration of elevated levels rather than the absolute numbers. As reported by CNBC TV18, Orton explains that sharp upward moves in bond yields historically tend to relax, but the current speed and duration of increases without knowing how long levels will stay elevated creates uncertainty.
Within India, Orton maintains a positive outlook on consumer-linked growth names, specifically highlighting Bharti Airtel and Bharat Electronics. As reported by CNBC TV18, he sees Bharti Airtel as a quality compounding asset with continued growth and limited near-term capital expenditure pressure. For Bharat Electronics, Orton expects earnings resilience from resilient defence spending in an increasingly multipolar world, with valuations appearing fair in the current environment.
According to Orton's analysis reported by CNBC TV18, consumer-linked growth names in India are showing resilience and rallying, with Eternal (Zomato) and One 97 Communications (Paytm) being notable examples. The strategist notes that while these names have performed well, there are still opportunities for selective investing across different sectors and industries to balance portfolios and weather market challenges.
