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NEW DELHI, Nov 1 Asia Pulse - India has outsmarted China in getting its stock market benchmark surge past the 20,000-point milestone, but domestic stocks are still much cheaper than those in its rival emerging economy, indicating that foreign investors will continue to log into bourses here.
When compared in terms of the price-to-earnings ratio, Indian stocks are currently trading at 26.3 times of the earnings, as compared to about 53 times in China, making them much attractively valued than those in the communist neighbour.
Moreover, the rally in Indian stocks has been relatively steady.
While India's Sensex took nearly 20 months to double from 10,000 level on February 6, 2006, China's stock market's barometer has nearly tripled in 10 months since the beginning of this year.
The Sensex is the world's 33rd stock market ...
Source: HighBeam Research, 20K OR NOT, STOCKS CHEAPER IN INDIA THAN CHINA.