‘Sensex to consolidate in near term’

Given the current level of macro stress,we expect Indian equities to trade at about 12-14 (times) forward earnings multiple,said JPMorgan in a note released on October 10. Adds,valuation models suggest that returns of about 15 (percent) are possible by fiscal year end.

The necessary condition for the market to find a base would be an end to monetary tightening,added the bank.

The bank is overweight on financial,healthcare,telecom and industrial stocks and underweight on consumer discretionary,utilities and materials.