IPO glut may fuel bear run: NCAER

National Council of Applied Economic Research (NCAER) has warned that too many initial public offerings (IPOs) in a short period could trigger bearish tendencies.

The stock market has currently been under a bear grip and yesterday the Bombay Stock Exchange (BSE) Sensex crashed 180 points to 5,520.66, its lowest closing level this year. It also recorded the biggest single-day fall in the last three years.

"Too many IPOs in too short a time exacerbated the fall. In fact, the government could well have held back a couple of issues and focussed on the really important ones such as Oil and Natural Gas Corporation (ONGC)," NCAER said in its latest Macrotrack report.