ANDREW ECONOMOS OF JP MORGAN ASSET MANAGEMENT EXPECTS TO SEE BETTER NEWS OUT OF INDIA SOON WITH THE APPOINTMENT OF NEW CENTRAL BANKER RAGHURAM RAJAN AND MOVES TO LIBERALIZE THE ECONOMY. SHOWS: HONG KONG, CHINA (AUGUST 23, 2013) (REUTERS - ACCESS ALL) ANDREW ECONOMOS, HEAD OF SOVEREIGN & INSTITUTIONAL STRATEGY, JP MORGAN ASSET MANAGEMENT 1. REPORTER OFF CAMERA SAYING: "Will the situation get worse on the rupee and the markets after the September policy? Or has the market priced that in already so we can be prepared for a post policy rebound?" 2. ANDREW ECONOMOS SAYING: "I think the market is anticipating much of it. And the rupee is overreacted. It's increasing the relative competitiveness of India. But it's still a domestic demand-related economy, so exports are not on the big part of it. So I think you'd continue to get some volatility. My guess, however, is with the new central banker Mr. Rajan - plus, the government is starting to decrease its populism and start increasing, obviously, this move towards more liberalization and reform - we'll start to see better news out of the Indian market. Technically it's oversold, so we should get a bounce anyways. And I think that's what we've been seeing the last couple of days." 3. REPORTER OFF CAMERA SAYING: "India has worked hard to avert a ratings downgrade. Is that inevitable in this scenario? What will be the impact of that?" 4. ANDREW ECONOMOS SAYING: "No I don't think it's inevitable. I think there's a lot of confidence in the foreign community in the RBI, the Reserve Bank of India. We'll wait and see. But seems like the new head is a very capable economist, understands the business extremely well, good macro. And obviously understands the industries and micro well. He knows what they've got to do, knows what he has to do. So I think the re-rating will wait. The de-rating will wait until we see the RBI falter. Or we see the populism rears its ugly head and again reform and liberalization slow down." 5. REPORTER OFF CAMERA SAYING: "What do you expect on the rupee against the dollar? Is 70 or beyond possible?" 6. ANDREW ECONOMOS SAYING: "No I think we've stabilized on the currency. I think you've p...

• published: 26 Aug 2013
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