Goldman Sachs sees Nifty rallying to 26,500, signals nearly 9.5% upside

Goldman Sachs anticipates Nifty's recovery to 26500, indicating a significant upside potential. This outlook stems from lower commodity prices and a stabilized currency, which are positive indicators. Healthy second-quarter earnings expectations also contribute to the improved domestic economic outlook. Foreign investor positioning is ultra-light, suggesting ample room for capital inflows to return. The brokerage recommends investing in banks, tourism, and energy refiners for potential gains.