A tri-annual survey conducted by IHS Markit in June said optimism among Indian companies regarding output and profitability has further faded. “Predictions of softer activity growth underpin downward revisions to the profits outlook, subdued hiring plans and relatively muted capex intentions," said the survey report. IHS Markit’s global business outlook survey for June showed that worldwide business optimism relating to future output and profits slid to its lowest since 2009. Profit expectations in the UK meanwhile stayed close to February’s post-recession low, and slipped to a six-year low in the eurozone. “The earnings growth recovery in FY20 is likely to be narrow and predominantly led by financials, even as global cyclicals drag and consumption-oriented sectors post deceleration in earnings," added its earnings preview report.

Source: Mint July 16, 2019 19:29 UTC