Citi has shifted India to market weight due to full valuations despite strong earnings. Investors are rotating toward “AI at a better price,” mainly in China and other global markets, not India, said Drew Pettit, Dir-US Equity Strategy, Citi, ETF Analysis & Strategy Research. Pettit rejects the idea of an AI bubble, calling it a “boom,” and says investor behaviour remains rational. He expects 2026 to be constructive for global equities as cyclicals and old-economy sectors see an earnings pickup and market breadth improves.
