Mukherjea said the panic seen in the financial markets has been calmed through steps taken by the Reserve Bank of India and the government
Consumption spaces like two-wheelers, cars, trucks, electronics, etc, which were NBFC funded, will see a slowdown as it is not likely that the companies will grow their loan books at the rate they were growing earlier, said Saurabh Mukherjea, founder of Marcellus Investment Managers.
Mukherjea said the panic seen in the financial markets has been calmed through steps taken by the Reserve Bank of India and the government. However, he added that the calm will likely last only for 2-3 weeks as the underlying challenges like higher crude prices and higher cost of money will remain.
While FMCG within the consumption basket will be storm-shelter for investors as it is aided by government, he said.
With regards to IT, he said in the near-term, the sector would post outstanding numbers. Pharma earnings too will pick up, he added.
Watch the video for more.Source: CNBC-TV18