It's Fine, The Mezzanine

Charubala Annuncio, Saumya Roy October 24, 2005 00:00 IST It's Fine, The Mezzanine -0001-11-30T00:00:00+05:53

All eyes are on the Q2 results. Almost everyone is expecting the second quarter (July-Sep) figures this fiscal to further trigger the bullish Sensex. Even Union finance minister P. Chidambaram said recently that the quarterly corporate performance is expected to be good and, hence, the stockmarket would continue to boom. The initial announcements by firms like Infosys and TCS last week seemed to be in sync with such expectations. Both the tech majors posted topline and bottomline growths that were way above the analysts’ estimates. Investors are now eagerly awaiting other firms to announce their results over the next few weeks. 

So, does that mean that the Sensex is in for another upwardly spin and will cross the 10,000-point mark? 

Not really. In fact, one’s not too sure. The reason: analysts contend that the Q2 figures have already been factored in in the current valuations. And the existing stock prices reflect what institutional investors are forecasting for the quarters in the next fiscal (2006-07). It’s only the small investors who are...