Business
Nifty is due for a pause, may even ease in early part of 2022: Report

Even after the GDP bounce-back off the low Covid-19 base, India can manage a 7.7 per cent expansion in FY23 and hence deliver growth that is almost unrivalled globally, UBS said in a report.
Yet, after a stellar two years for the Nifty where it even left the S&P behind at times (even in US Dollar terms), we believe the valuation does not fully reflect upcoming headwinds, the report said.
These include rising interest rates both globally and in India, and importantly, the return of India’s historic soft spot, current account deficits. “These headwinds may affect not only the country’s stock market but also the INR. We hence believe a multi-month pause is in order, the recent correction notwithstanding,” the report said.
“All told, within the space of two years, the current account is likely to swing from its surplus of 0.9 per cent of GDP towards a 1.9 per cent deficit, in our view. We believe this will bring down the INR. We look for USDINR to trade towards 79 levels by end-2022,” UBS said.
Another interesting and potentially bearish aspect is the lopsidedness of recent inflows that have kept the market afloat. They are now derived almost exclusively from domestic retail investors. However, the past has shown that this type of flows can stop when markets no longer exhibit a steady rise, and potentially higher bank deposit rates could become a potent competitor again when the RBI starts to hike interest rates, UBS said.
India’s stock market left most emerging markets and even developed markets counterparts in the dust during 2020 and especially 2021. That said, and the structural appeal of the Indian market notwithstanding, we believe in the near term the Nifty is due for a pause, and may even ease in the early part of 2022, UBS said.
“A key reason is indeed the still lofty valuation premium. We expect this process to continue. The earnings growth of 28.3 per cent for FY22 and 11.7 per cent for FY23 works as a partial counter-force and will likely help to prevent a strong correction. At the same time, we stress that as is often the case, consensus estimates look implausibly high to us”, UBS said.
Still, financials should come to the fore on the back of rising loan growth, coupled with expanding interest margins. We also like cyclical names in the vehicle, cement and construction space. We believe materials stocks on multi-year high valuations will likely underperform as some supply tightness eases, the report said.
In our estimate, the central bank will likely start to slightly tighten policy measures from March and subsequently raise its repo rate around September, followed by a second rate hike later during the year to arrive at 4.5 per cent, the report said.
During the early part of the pandemic, exports held up reasonably well while imports plummeted. Yet, for FY23, we expect only small export growth while imports should come roaring back as the economy reopens further and oil prices are rising.
Business
Piyush Goyal rolls out red carpet for Swiss firms to invest in India (Ld)

New Delhi, June 10: Commerce and Industry Minister Piyush Goyal has invited Swiss companies to expand their footprint in India and take advantage of the country’s dynamic and rapidly growing market.
The minister held a meeting in Bern with the leadership from several premier Swiss companies across diverse sectors and urged them to see India as a strategic hub for manufacturing, talent, and innovation.
The discussions focussed on enhancing synergies between Indian and Swiss enterprises, with a special emphasis on innovation, technology transfer, and sustainable manufacturing, according to an official statement issued on Tuesday.
Goyal assured the business leaders of India’s unwavering commitment to fostering a conducive business environment through transparent regulatory processes, a robust Intellectual Property regime, and pro-investment policy frameworks.
Following these strategic discussions, the Minister chaired two focussed roundtables with sectoral leaders from the Swiss industry —covering biotech and pharma, healthcare, and precision engineering, Defence, and Emerging Technologies.
These sessions, hosted with the support of the Indian Embassy in Switzerland, highlighted India’s scale, affordability, and rising innovation ecosystem.
The Minister called on Swiss businesses to leverage the dedicated EFTA Desk at Invest India for handholding and facilitation support.
He reiterated India’s willingness to work towards regulatory harmonisation and mutual recognition agreements, highlighting India’s proactive stance on building reciprocal bridges to encourage Swiss and Indian investments.
In addition to industry interactions, the Minister also met with members of the Switzerland Chapter of the Institute of Chartered Accountants of India (ICAI).
He lauded the chapter for their contributions and for upholding the high standards and global reputation of the ICAI, while strengthening the India–Switzerland professional and business ecosystem.
Swiss industry leaders across a diverse range of sectors — including biotechnology, precision manufacturing, healthcare, automation, Defence, cybersecurity, and advanced materials — expressed strong confidence in India’s trajectory as a global economic powerhouse and an innovation-led growth destination, the statement said.
Companies commended India’s unique strengths: A vast and dynamic market, growing middle class, world-class engineering and scientific talent, and a policy environment that actively promotes ease of doing business, IP protection, and technology partnerships.
For many, India is not only a promising market but also an ideal base for manufacturing, R&D, and co-creation of globally competitive solutions.
Several firms indicated active interest in forming joint ventures, scaling operations, and localising production to serve both Indian and international markets.
From cutting-edge cancer therapies and cell sciences to industrial automation, fibre optics, space technologies, and digital security, Swiss companies underscored their alignment with India’s developmental priorities and sectoral growth plans.
The sentiment was one of strategic alignment and long-term commitment.
Many participants described India as a natural partner and conveyed readiness to invest in its next phase of growth, not only to tap into domestic demand but to position India as a hub in their global value chains, the statement added.
National
On Foundation Day, NCP factions showcasing respective strengths

Mumbai, June 10: NCP founder Sharad Pawar and his nephew, Deputy Chief Minister Ajit Pawar, are set to hold separate ceremonies in Pune on Tuesday to mark the party’s foundation day.
Both factions will show their respective strengths after the split and express their resolve for consolidation.
These rallies are taking place amid the talks of a merger or an alliance ahead of the local and civic body elections in Maharashtra. Incidentally, Sharad Pawar-led NCP and Ajit Pawar-led NCP have scoffed at these rumours; instead, the leaders have said they have charted their respective plans for consolidation.
In his message on the occasion of the foundation day, NCP national president and Deputy Chief Minister Ajit Pawar exhorted the party members to resolve with strong determination to give a new dimension to the all-round development of Maharashtra and India in the coming times, and pledge to march toward a sustainable future.
“Heartfelt congratulations to everyone on the 26th anniversary of the Nationalist Congress Party! In 1999, cherishing the ideological legacy of Shiv-Shahu-Phule-Ambedkar and considering the progressive, transformative social politics of the late Yashwantrao Chavan Saheb as an ideal, we all laid the foundation of the Nationalist Congress Party,” said Ajit Pawar. However, the name of his estranged uncle and the founder of NCP, Sharad Pawar, is missing in his message, which he shared on X.
“Over the past 26 years, we have played both ruling and opposition roles, making significant contributions and bringing new momentum to the politics and governance of Maharashtra as well as the nation. We will continue this journey of people-oriented social and political work unabated. On this anniversary, let us resolve with strong determination to give a new dimension to the all-round development of Maharashtra and India in the coming times, and pledge to march toward a sustainable future! Once again, best wishes to all,” said Ajit Pawar. He left his uncle, Sharad Pawar and joined hands with the BJP-led Mahayuti in July 2023, and also won the party name and clock symbol in the legal battle.
On the other hand, NCP(SP) leader Supriya Sule, who was elected from Baramati constituency in the Lok Sabha elections after defeating Ajit Pawar’s wife Sunetra Pawar, said the party founded by Sharad Pawar has nurtured the lesson taught by the architect of modern Maharashtra, the late Yashwantrao Chavan.
She said that carrying this very ideology, the party consistently reached out to the grassroots populace. The workers of nationalist ideology are always ready to deliver justice to various sections of society, including farmers, labourers, toilers, women, and youth.
In her message, Sule wished the people, workers, leaders, office-bearers, and public representatives who have stood firmly with the party throughout this journey.
“Respected Pawar Saheb planted the sapling of nationalist ideology in the proud land of Maharashtra, which has now grown into a mighty banyan tree. Today marks the completion of 26 years of this event. As we celebrate the anniversary of our Nationalist Congress Party – Sharadchandra Pawar faction, it fills us with heartfelt satisfaction to know that we have strived to amplify the voice of the exploited, deprived, and oppressed people across the country on various platforms, securing justice for them. We have nurtured the lesson taught by the architect of modern Maharashtra, the late Yashwantrao Chavan Saheb, of 80 percent social work and 20 percent politics. Carrying this very ideology, we consistently reach out to the grassroots populace. We, the workers of nationalist ideology, are always ready to deliver justice to various sections of society, including farmers, labourers, toilers, women, and youth,” said Sule in her post on X.
“The steadfast support and blessings of respected Pawar Saheb are with us today, which is a matter of great value to us. The energy of his thoughts will always be a source of strength for us. On this anniversary, heartfelt congratulations to the people, workers, leaders, office-bearers, and public representatives who have stood firmly with us throughout this journey,” stated Sule.
National
Uddhav Thackeray backs Rahul Gandhi’s claims on Maha elections, says ‘masks off’ in Saamana

Uddhav Thackeray
Mumbai, June 10: Shiv Sena (UBT) has targeted the Bharatiya Janata Party (BJP) following Congress leader Rahul Gandhi’s allegation of ‘match-fixing’ in the Maharashtra Assembly elections, stating that a fiery ‘demon has entered the ruling party’.
Thackeray camp claimed that Rahul Gandhi has exposed the corrupt handshake of the BJP and the Election Commission of India. The ‘makeup’ of people like Chief Minister Devendra Fadnavis was spoiled because of this. Before shaking the dust off the faces of others, they should look at their own faces in the mirror. Now the makeup is completely off.
In a scathing editorial in the party’s mouthpiece ‘Saamana’, the Thackeray camp said that Rahul Gandhi is sitting on the constitutional post of the Leader of Opposition in the Lok Sabha. “When Modi-Shah was in power, they did not allow Congress to get the post of Leader of Opposition, but this time the people gave strength to Rahul Gandhi, and he became the Leader of Opposition. Therefore, considering his allegations as mere complaints, the Election Commission should take ‘suo motu’ action, but will Modi-Shah allow it? That is the question.”
“Rahul Gandhi expressed his views on the Maharashtra Assembly elections through democratic means. For this, he wrote articles in many newspapers of the country and gave detailed information about how the Election Commission stole the Maharashtra elections. Maharashtra defeated Modi and company in the Lok Sabha elections. The dream of ‘Ab ki baar char sao par’ was lost because of Maharashtra. Maharashtra’s determination was so strong. After that, the Assembly elections were held within six months. However, in this election, Congress, NCP and Shiv Sena did not get even 50 seats together. How can such a reversal happen in just six months after the Lok Sabha elections? Does anyone understand this? Rahul Gandhi revealed in his article how all this match-fixing took place in the Maharashtra elections with the help of the Election Commission, how all this is harmful to democracy and how the same ‘match-fixing’ pattern will be implemented in the Bihar Assembly elections coming after Maharashtra,” said the editorial.
The Shiv Sena(UBT) said in the editorial that the Modi government did many tricks to control the Maharashtra Assembly elections, including getting whatever panel it wanted in the Election Commission. Rahul Gandhi talked about the scams in the voter list and the increase in voters by 60-70 lakh, and also voting after 5 p.m. He raised this crucial question.
“Rahul Gandhi’s demand is simple. One of his demands is to publish a consolidated digital machine-readable voter list for the Lok Sabha and Assembly elections of all states, including Maharashtra, and the other is to make public all the CCTV footage of polling stations in Maharashtra after 5 p.m. Instead of directly answering Rahul Gandhi’s questions, the Election Commission has appointed BJP leaders as lawyers. Since Rahul Gandhi wrote an article, Maharashtra Chief Minister Fadnavis tried to answer Rahul Gandhi by writing an article. It is a serious matter for a political party to advocate for the Election Commission. Again, Fadnavis took the support of Urdu poetry for this. Since the results of the Maharashtra elections were a robbery, Fadnavis, the main beneficiary of this robbery, became possessed and started speaking in Urdu,” said the Thackeray camp.
“You kept making this mistake, there was dust on your face, and you kept wiping your eyes, Fadnavis said about Rahul Gandhi. Rahul Gandhi’s arrows have penetrated the hearts of Fadnavis and others. The Election Commission murdered the Constitution. To gain power in Maharashtra, Amit Shah split the two regional parties, Shiv Sena and Nationalist Congress, and it was approved without considering the 10th schedule of the Anti-Defection Act. All this is unconstitutional,” claimed the editorial.
“Handing over the original party Shiv Sena to the ‘unknown’ upstart Eknath Shinde with the bow and arrow symbol and in the same way putting the Nationalist Congress Party in the pocket of Ajit Pawar during Sharad Pawar’s lifetime was part of the conspiracy to steal the Assembly elections in Maharashtra. The Election Commission participated in this organised crime. Now, the Election Commission is advising Rahul Gandhi to file a written complaint about his objections. This is a cowardly attempt to clean the mud from its face. The people of the Bharatiya Janata Party are seen cleaning the dirt from the face of the Election Commission. Many complaints and objections have been registered with the Election Commission after the results of the Haryana and Maharashtra Assembly elections. The Election Commission, which is slow to take action on them, is pretending to be lenient about Rahul Gandhi’s allegations, saying, “Rahul should give his allegations in writing. Then we will see,” said the editorial.
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