This year’s budget will decide if investors invest or exit from Indian stock market. Budget is always an important event for the Indian stock market . However this year is of special significance .
India stands at the crossroads of hope vs despair . The world economy looks shaky at best . Oil prices are struggling to find a bottom . China is slowing down faster than anticipated . The MEA nations dependent on earnings from Oil are struggling .
On the domestic front the economy is slowing down . The weak rupee is scaring off foreign investments . We have seen one of the highest exodus of foreign investments in 2016 so far.
Can the budget turn the tide in India’s favour . If the railway budget is seen as a precursor to the Budget it looks optimistic for now .
Some of the positives of the Railway budget are as follows :
The overall global situation is reflecting some early signs of improvement . With Oil prices stabilizing we may see some stability in Risky assets. On NIFTY we may expect some recovery . However whether the market will continue with the rally will depend on the budget .
Hope the Government makes the best of this opportunity. Share your expectations on the Budget . What are your thoughts on the railway budget.