However only on the day before i.e on Monday October 8th, the markets seemed jittery and closed at 17491.39 on fears of a mid-term poll owing to the political instability. The way the market bounced back in a day, having seemingly corrected itself for the political drama or blindly ignoring it, is reminiscent of the scenes that prevailed before the stock market crash of 2000 following the IT bubble burst. Looking at today's IPO scene reminds me of that period when IPO's ruled the roost and enjoyed hefty premiums too. But in the aftermath of the crash many of these stocks vanished into thin air.

Looking at the volatility of today's markets and high premiums that are associated with the IPO's it would be prudent to throw caution to the wind and book profits after the stocks get listed than to hold, unless they are some really good companies, which have been performing great after listing, like Take Solutions, Motilal Oswal or Power grid corporation or the upcoming Reliance Power IPO which is touted to be the largest Indian IPO looking to generate a market cap of Rs.12,000 crores.

- sinnerJi