Citi expects Sensex to hit 33,000 by Dec 2015

At a time when global markets and investors are bullish on India’s equity markets, global investment bank Citigroup has revised Sensex December 2015 target to 33,000 from 31,000.

It has also increased the Nifty target to 9,850 from 9,240.

The brokerage further said that 2015 should be front-loaded with falling interest rates and back-loaded with actual economic recovery amid steady reforms.

It also said that falling rates in a rising economy/earnings could fire the market more.

Citi expects policy rates to fall by 75 basis points in 2015.

The firm is overweight on banks, energy, cement, pharmaceutical shares.

It has listed Adani Port and Special Economic Zone, Aurobindo Pharma  among top large-cap picks.

Ashok Leyland and DB Corp are top picks among midcaps.