Market may react negatively to poor IT earnings: Anand Tandon

In a chat with ET Now, Anand Tandon, Independent Analyst, shares his views on IT.

ET Now: How do you gauge what is happening currently, is all the pain in the price already, do you think the market is already discounting a poor quarter because of the Chennai warnings and the seasonal nature or do you think there could be a negative surprise or two as well?

Anand Tandon: The market knows that it is going to be a somewhat poor quarter. One because it of seasonality, we have a fewer number of days, more holidays and of course, the Chennai floods had their own impact. That said will the prices react negatively if the numbers come down, I think quite likely. You know the market has a very strange habit of reacting to numbers even if it knows that it is going to be good or bad and it reacts accordingly. Overall however, I think the IT sector will remain a relative safe haven. So, I do not believe that even if you see a negative reaction it can last too long, at least, on a relative basis vis-à-vis the Nifty.