FII Money To Stay Despite Volatility

Global markets are reeling under selling pressure on subprime woes and yen carry trade unwinding. Despite this uncertainty, confidence on Dalal Street has not been shaken.

On an exclusive NDTV brokerage poll, 86 per cent of the brokerages say that this is an opportune time to take fresh position in stock markets. However, 14 per cent has a word of caution.

Foreign institutional investors including hedge funds have unwound massive position in past few trading sessions. However, 54 per cent of the brokerages believe FII money is to stay in India on its robust economic growth story.The Sensex has broken a very important psychological level of 15,000 mark. However, 87 per cent of the brokerages believe that there won''t be any major correction from current levels.

But 92 per cent of the brokerages say that the volatility in the markets will stay in absence of any clear direction.

The million-dollar question now be, should one buy into equities? About 63 per cent of the brokerages are recommending to their clients for a buy and the value they are seeing post correction is in mid-caps.

There are brave-hearts on Dalal Street, brokerages are sticking their neck out in giving year-end targets. Around 93 per cent of the brokerages believe that by year-end Sensex should touch 16,000 mark on corporate earnings growth and India growth story.