Markets unlikely to crash
There are lots of fund who are holding on the cash and so domestically lot of people are putting in money but the real risk lies from the FII’s inflows. Crude being one of the most happening thing on this planet and considering the inflation rising all around the world, pressure will be there as far as growth rate is concern but the relative growth of India will always be there and that would interest the FII in the near term. This mean a crash is very much unlikely from the current levels but we would consolidate around the current market range.
The second biggest concern is the increase in the crude prices which is not passed on to the customer and so there is a huge fiscal deficit bubble which needs to be passed on at some point. Sooner its passed the lesser impact it would do as far as sentiments goes and the solutions which are being deployed are not helping anything but disturb the sentiments of the people.
The next important thing to look at it is poll this year and as we move towards the end of this year we would start on with the election period and by the time we reach at the end of the year the market should bottom out and so the right time for investors is to start bottom fishing the stocks and get into the equity at the right time and remain invested.

