ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Late-Cycle Phase The best sectors in this phase include energy, utilities, healthcare, and consumer staples.

Detailed explanation-2: -Electric Vehicles Sector This is because the Indian government and private industry are looking to expand electric vehicle penetration to up to 30% of private cars, 70% of commercial cars, 40% of buses and 80% of two and three-wheelers by 2030.

Detailed explanation-3: -Investments in the mid-cycle Information technology stocks have been the best performers during this phase, with semiconductor and hardware stocks typically picking up momentum once companies gain confidence in the recovery and begin to spend capital.

Detailed explanation-4: -For example, the early cycle phase typically is characterized by lower interest rates and a sharp economic recovery, which tends to lead to outperformance by the consumer discretionary and industrials sectors.