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Below is Post Budget Quote By Gurmeet Singh Chawla, Master Capital Services, Director,

In the sectoral domain, over the last 7 years, the metal sector exhibited positive returns for 5 times in the post-budget month. The sector that outpaced other sectors is Energy, giving positive returns twice. The third sector which has been on our list is media, which closed in green twice, though the average return is negative for the last 7 years.

The Union Budget (2023-24) has been presented at a time when the Nation has come to a new normal, 3 years since the pandemic hit the country and also with elections around the corner. Generally, in a one-month period, the markets tries to consolidate the shocks of the budget.

The prime focus of the Budget 2023 aims on fulfilling youth aspirations, job creations and macroeconomic stability. The key priorities of Union Budget 2023 are inclusive development, reaching the last mile, infrastructure & investment, unleashing the potential, green growth, youth and financial sector. 

The increase in the CAPEX by 33% to Rs.10 Lakh crore, will push all sectors, specifically the infrastructural growth to new heights. However, the global market cues don’t seem quite favorable given the fear of recession and its impact on the overall Indian markets. In this case, the investors might think twice before putting in their money since there is a drop-in production on one hand and an increase in expenditures on the other. FIIs might reconsider allocating their investments. Nevertheless, the expenditure reflects that the government is all set to protect and safeguard the interest of Indian market players.  

Decriminalization of 3,400 legal provisions to promote the ease of doing business and Rs 9,000 crore in corpus allotted to credit guarantee scheme for MSMEs is another positive for business and capital investments. Furthermore, the change in income tax slabs, particularly for the salaried class, will elevate market participation as the savings would be impacted in an affirmative way. 

Considering the impetus given to the agriculture sector and a ten-fold rise in the outlay for railways, the respective equities, as well as infra stocks, would be in focus.

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