Risk-reward for Sensex may remain unfavourable: Enam

Here is expert equity call for the day on how the markets are expected to trade:

Nandan Chakraborty, Enam: There are headwinds, both domestic and global making 2011 quite volatile. Hence, risk-reward for the Sensex may remain unfavourable this year. Also there are risks to earnings growth in case of delayed capex and rising costs & subsidies. However, the secular India story remains sound despite the cloudy near-term. Thus, given the unique India story in a global context and the inevitability of QE-driven liquidity surge, any crack should be used as buying opportunity.