'Earnings need to catch up for the markets to sustain at current levels'

There is value in select mid-cap stocks, which cannot be ignored, says chief investment strategist at Standard Chartered Securities.

Backed by liquidity from foreign flows, benchmark indices have scaled new highs over the past few sessions. Mitesh Dalal, director, and chief investment strategist, Standard Chartered Securities tells Puneet Wadhwa that election results, crude oil prices and the overall global economic slowdown are some of the other factors besides earnings recovery that investors need to keep a tab on. Edited excerpts:

What’s your market outlook for the rest of 2019?

Market sentiment changed post the announcement of the election dates. Foreign portfolio investors (FPIs) are buying aggressively. On the other hand, the domestic institutions (DIIs) have turned sellers after a