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Below the quote on JP Morgan’s inclusion of India in the Emerging Market Index from Dr. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services.

"JP Morgan’s inclusion of India in the Emerging Market Index is a very positive move from the perspective of the Indian economy in general and the capital market in particular. The foreign demand for GoI bonds will push down their yields. This will happen much earlier than the date for inclusion, which is June 2024. Most of the corporate bonds yields are benchmarked to the yields on government bonds. Therefore, yields will decline pan India, across industries. The decline in the cost of capital will translate into higher profits for the corporate sector, which, in turn, will boost stock prices enabling the stock market to scale higher levels."

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