Instant tip

The fortnight’s burning question: Has the Indian stock market finally run out of steam after a five-year bull run?

No. Malcolm Wood, Executive Director, Morgan Stanley Asia
Due to the subprime crisis in the US and also because of the slowdown there, the Indian stock market does seem to have run out of steam in the immediate near-term as players (institutional investors) are moving out of equities and parking their funds in risk-free instruments. But things aren’t as bad as they look and the market is poised to bounce back after a slumber.

Yes. Naresh Kothari, President, Edelweiss Capital
Over the short-term, i.e., for the next one-to-two months, the market seems to be on a downturn due to external factors. However, if we see an internal economic slowdown, the market will remain subdued for the next six-to-12 months.

No. Sanjay Sinha, CIO, SBI Mutual Fund
The fall is just a correction in the bull market that started way back in 2002. That had to happen sometime. But let us not underestimate the inherent strengths of the Indian economy; these are still intact. The volatility is primarily due to several global factors. Once these factors stabilise, the Indian markets will recover once more.

— Compiled by Mahesh Nayak