'Markets are in the midst of figuring out the impact of the 2nd Covid wave'

While the market has weakened from its high, it is up significantly over the year, and is trading at multiples that are well above its mean, says Aditya Narain of Edelweiss

The bears seem to be tightening their grip on the markets amid a sharp rise in Covid cases across the country. ADITYA NARAIN, head research – institutional equities at Edelweiss Securities, tells Puneet Wadhwa in an interview that going ahead, corporate earnings’ estimates could get trimmed, given the ferocity of the second wave, and importantly its spread, beyond urban areas. Edited excerpts:

Do you think that the markets are now looking beyond the second Covid wave and its impact on the economy?

The markets are in the midst of figuring out the impact of the second wave. The backdrop of