Current market levels capture expected earnings momentum: Harinarayanan

In the short term, election does matter and will play on the investor sentiment, says Suhas Harinarayanan

After the recent rally, the valuations are not cheap as they factored in the earnings momentum, says SUHAS HARINARAYANAN, head-institutional equity research, JM Financial Institutional Securities. In an interview to Samie Modak, he says investors with long-term horizon can use volatility as an opportunity to invest. Edited excerpts:   

The markets have rebounded since July. What is the reason behind it?
 

The benchmark Nifty 50 is up over five per cent in one month. The gains are driven by the positive movement in the three large corporate banks (Axis Bank, ICICI Bank and State Bank of India), Reliance Industries, ITC, Bajaj