Why bears are scarce

BS OPINION

 The market has shut its eyes firmly to all bad news, ranging from the Mumbai bomb blasts to the Supreme Court ruling on the HPCL and BPCL disinvestments.

 The speed of the rise has also been unprecedented, leaving even seasoned market players breathless. All these factors have led to some unease, and most money managers have been advising caution for quite some time now.

 To be sure, there are plenty of reasons for optimism. Corporate earnings have been rising, and on a FY 2004 forward basis, the Nifty is trading at a price-earnings ratio of around 15, which is by no means high in today