Helping You Build Wealth With Honest Research
Since 1996. Try Now

MEMBER'S LOGIN

MEMBER'S LOGINX

     
Invalid Username / Password
   
     
   
     
 
Invalid Captcha
   
 
 
 
(Please do not use this option on a public machine)
 
     
 
 
 
  Sign Up | Forgot Password?  

Markets open strong ahead of budget
Sat, 28 Feb 09:30 am

The major Asian stock markets have opened the day on a mixed note. The Indian markets have, however, opened on a positive note ahead of budget. All of the sectoral indices are trading in the green with the capital goods and realty stocks leading the pack of gainers.

BSE-Sensex is currently trading up by about 225 points (up 0.77%), while the NSE-Nifty is higher by about 64 points (up 0.72%). Both BSE Mid Cap and BSE Small Cap indices have also opened the day in green, up by 0.71% and 0.62% respectively. The rupee was trading at Rs 61.83 to the dollar at the time of writing.

In the budget that is expected to be tabled in the parliament today the Finance Minister (FM) is expected to re-introduce infrastructure bonds that debuted in 2010. Apart from it, there are chances that the medical reimbursement limit will be raised to Rs 50,000 from an existing ceiling of Rs 15,000. We reckon re-introduction of infra bonds could be a good move considering government's renewed focus on investments. It shall help government mobilize money for long term as such bonds have lock in for a certain time period. Further, rise in medical limit is expected to benefit the aam aadmi as medical costs have sky rocketed in recent years.

PSU banking stocks have opened the day on a strong note. Indian bank and Vijaya bank are leading the pack of gainers. During many budgets in the past, government was kind enough to extend support by announcing recapitalization measures for PSU banks. And while we are yet to see what the government shall do in this budget, industry has high hopes to say the least. The ED of Punjab National Bank expects FM to allocate Rs 200-300 bn in order recapitalize PSU banks. However, it remains to be seen if government will oblige this time as recapitalization of inefficient PSUs is effectively a waste of tax payers money.

For information on how to pick stocks that have the potential to deliver big returns, download our special report now!

View all commentaries | Archives

Read the latest Market Commentary


Equitymaster requests your view! Post a comment on "Markets open strong ahead of budget". Click here!

  
ABOUT EQUITYMASTER

Since 1996, Equitymaster has been the source for honest and credible opinions on investing in India. With solid research and in-depth analysis Equitymaster is dedicated towards making its readers- smarter, more confident and richer every day. Here's why hundreds of thousands of readers spread across more than 70 countries Trust Equitymaster.

PREMIUM PRODUCTS
QUICK LINKS
POPULAR TOPICS
TRENDING TOPICS
FREE NEWSLETTERS
EQUITYMASTER SUPPORTS
  • HelpYourNGO
  • You Tube
  • Linkedin
  • Twitter
  • Telegram
  • Google Play

Copyright © Equitymaster Agora Research Private Limited.

Whitelist | Refer | Terms | Privacy | Contact | About | Sitemap

Phone +91-9136015013

Equitymaster Agora Research Private Limited (Research Analyst)
SEBI (Research Analysts) Regulations 2014, Registration No. INH000000537.

103, Regent Chambers, Above Status Restaurant, Nariman Point, Mumbai - 400 021. India.
Telephone: +91-22-61434055. Email: info@equitymaster.com. Website: www.equitymaster.com.
CIN:U74999MH2007PTC175407

Name of the Compliance & Grievance Officer: Ms Sonal Ramachandran
Telephone: +91-22-61434003 | Email: compliance@equitymaster.com

LEGAL DISCLAIMER:
Investment in securities market are subject to market risks. Read all the related documents carefully before investing.
Registration granted by SEBI and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.

All rights reserved. Any act of copying, reproducing or distributing this newsletter whether wholly or in part, for any purpose without the permission of Equitymaster is strictly prohibited and shall be deemed to be copyright infringement.

Equitymaster Agora Research Private Limited (Research Analyst) bearing Registration No. INH000000537 (hereinafter referred as 'Equitymaster') is an independent equity research Company. Equitymaster is not an Investment Adviser. Information herein should be regarded as a resource only and should be used at one's own risk. This is not an offer to sell or solicitation to buy any securities and Equitymaster will not be liable for any losses incurred or investment(s) made or decisions taken/or not taken based on the information provided herein. Information contained herein does not constitute investment advice or a personal recommendation or take into account the particular investment objectives, financial situations, or needs of individual subscribers. Before acting on any recommendation, subscribers should consider whether it is suitable for their particular circumstances and, if necessary, seek an independent professional advice. This is not directed for access or use by anyone in a country, especially, USA, Canada or the European Union countries, where such use or access is unlawful or which may subject Equitymaster or its affiliates to any registration or licensing requirement. All content and information is provided on an 'As Is' basis by Equitymaster. Information herein is believed to be reliable but Equitymaster does not warrant its completeness or accuracy and expressly disclaims all warranties and conditions of any kind, whether express or implied. Equitymaster may hold shares in the company/ies discussed herein. As a condition to accessing Equitymaster content and website, you agree to our Terms and Conditions of Use, available here. The performance data quoted represents past performance and does not guarantee future results.