Besides catching hints of asset bubbles and sensing early signs of market disruptions by analysing patterns from historical data, macroeconomic numbers, and market behaviour, AI and ML models may come handy in ‘stress testing’ of banks. It could help regulators to be better positioned in ensuring that banks have enough capital to absorb shocks from slowing economy and plunging markets.
Valuations turn attractive as markets look beyond uncertainty: A Balasubramanian
Amidst geopolitical uncertainty, market expert A Balasubramanian suggests the worst may be nearing an end, with improving macro signals and reasonable valuations in Indian equities.