Nifty may crack 5000, but not in near-term: Veda Investment

The markets displayed some stabilisation yesterday as the Nifty closed above the psychologically important 5700 level. But despite yesterday's effort, experts do not seem convinced that the market is out of the woods just yet and say that the near to medium-term trend still looks uncertain.

Speaking to CNBC-TV18, Vikas Pershad of Veda Investments said that though the sell-off may have concluded for now, 5300 should not be out of the realm of possibilities in the near-term, before adding that the Nifty could also crack 5,000 going forward. He however does not expect that to happen in the near-term. "I think the decline from the November-December peaks has been in high single digits around 10% but the market breadth in India does not look good, and earnings picture is also little mixed. So we could see further downside from here," Pershad said. According to Pershad, emerging markets still hold value and stocks could recover in the second half of the calendar year. With rising interest rates taking a toll on the banking space, Pershad is not an aggressive buyer in the sector, even though it remains his favourite sector in India. Below is a verbatim transcript of his interview on CNBC-TV18. Also watch the accompanying video. Q: What have you made of this sell off is it done for the moment or is there more to come? A: I think in the short-term the sell off is probably concluded for now. I don