Is the worst over for world economy?

The Indian stock markets were up by 2.8% during the week. All the sectors ended in the green for the week apart from FMCG (down by a negligible 0.1%). Positive global cues along with lower food inflation number presented a possibility of a revival in the Indian economy. In fact, food inflation entered into the negative territory (-3.36%) for the first time in about 6 years, raising hopes that RBI could start cutting interest rates soon.

Amongst the other world markets, the investor sentiments were optimistic. Barring the Asian markets of China (down by 0.5%) and Japan (down by 0.8%) and that of France (down by 0.7%), all the global stock markets ended the week higher from where they started.