0

0

0

0

0

0

0

0

0

market | IST

Hospitality sector to be in survival mode; metals to keep shining: HSBC Global’s Tushar Pradhan

Mini

The hospitality sector, which is one of the hardest-hit sectors due to COVID-19, will keep struggling while the metal sector will continue is shine as the economic activities globally restore, said Tushar Pradhan, CIO of HSBC Global AMC.

The hospitality sector, which is one of the hardest-hit sectors due to COVID-19, will keep struggling while the metal sector will continue is shine as the economic activities globally restore, said Tushar Pradhan, CIO of HSBC Global AMC.
Speaking to CNBC-TV18, Pradhan said, “Restaurant chains and essentially the entire hospitality sector, while it will try to revive a little bit, it is still going to be only in survival mode. Their revenues are not anywhere near the average and when the season starts and people start to travel again, it is not going to make a difference to their profitability. It will just make sure that they stay afloat.”
Pradhan believes that the hospitality sector has taken the biggest brunt of the COVID outbreak and does not expect a jump back quickly into profitability.
On the metal sector, Pradhan said that one must not be in a hurry to book out.
“I clearly feel that there is a lot more to go in the metal sector. This year the world is going to go through a restoration phase which means that all of the beaten-down stocks, all of the underlying economies which went into severe shock, will come back on. I think that hits the metal story right in the center of the target,” he said.
According to Pradhan, traditional energy companies will find it difficult as the globe is moving to non-fossil energy.
For full interview, watch video.