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According to Anand Tandon, for sustained market growth, earnings need to catch up. Market has run ahead of earnings, lacking supportive valuations. Momentum has been broken, time to move into defensive areas like IT. Look for global triggers and investment ideas in international markets. Analysts have turned far too bullish and now they are having to tone down and that will put a little bit of a cap in terms of how much the market can go.
Anand Tandon advises investing in housing finance companies and the life insurance sector. He cautions about the froth in smallcap, midcap space and the regulation issues in the fintech space. Paytm s profitability may improve. US commercial real estate prices have collapsed. China s real estate market faces debt issues. There can be individual onsumer goods stocks which one can look at, but broadly, this sector will probably lag the overall market
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