Investors need to be careful in terms of deploying fresh money: Krishna Kumar Karwa

economictimes.indiatimes.com:

«I think if we look at valuations of individual companies, etc, in the last three months we have seen many of these company prices have moved up by say 20%, 30%, etc, so I think the valuation comfort is no longer there,» says Krishna Kumar Karwa, MD, Emkay Global.It has been a heck of a bull market. Do you think this summer rally of 2023 has still some more steam left?Yes, because macro were playing out in terms of inflation, interest rates, etc, all those positives were playing out and we also saw massive inflows from overseas post the China trade did not play out the way it should have.

So, I think that part is done with. Currently also macros continue to remain very positive in terms of inflation being under control, interest rates also expected to be benign or rather not going up at least.

But I think if we look at valuations of individual companies, etc, in the last three months we have seen many of these company prices have moved up by say 20%, 30%, etc, so I think the valuation comfort is no longer there. My sense is it is going to become more and more difficult.