No sustained foreign inflow into the market: Anish Damania, IDFC Securities

In a chat with ET Now, Anish Damania, Head–Institutional Equities, IDFC Securities, shares his views on the Nifty:

ET Now: Put a price tag on the Nifty range for the next six months...

Anish Damania: The range will be anywhere between 5000 to 5600 which the market will trade in for next six months.



ET Now: Why is that you do not expect Nifty to crack below 5000 or to go above 5600?

Anish Damania: The fact is that we do not see any strength in the economy for at least the next 12 to 18 months. There isn't any sustained inflow into the markets from the foreigners.

The domestics are not putting in money. With the kind of interest rates which are prevailing at the shorter end, a lot of FMPs are getting in some money at about 10.5 per cent. It is an extremely attractive yield for anybody who wants to put money into the market.

So from the locals, I am not expecting inflows. From the foreigners, that inflow has virtually dried out. So there is no money to drive the market up.

On the other hand, I do not know whether the market will crack below 5000. The range has shifted from 5500 to 6200, and from 5600 to 5000. Hence, we will trade in the lower band of the range now.