Another budget came and went. This has significant implications as it is a forward looking budgets. Those looking for immediate results are likely to be disappointed.
1. The Model Rent Act is a big step forward. due to archaic laws people are hesitant to rent out homes. This will help the infra space also.
2. The hike in excise on Petrol and diesel is significant as it will help flush out black money. Even the non tax payers fill petrol and diesel so everyone pays taxes.
3. Lowering of promoter holding to 65 % will bring liquidity especially in the MNC stocks. It will lead to more participation by the retail population.
4. Borrowing in foreign currency will strengthen the rupee and keep interest rates low.
This budget is the first step in the long term roadmap towards the 5 trillion dollar economy mark. The markets will react negatively initially but over the long term it is a buying opportunity.
The time to invest in good stocks is now and they will reward investors over a 5 year period.
11300-11500 can be considered as the base for the markets. The patient investor will be the one who will be rewarded.
1. The Model Rent Act is a big step forward. due to archaic laws people are hesitant to rent out homes. This will help the infra space also.
2. The hike in excise on Petrol and diesel is significant as it will help flush out black money. Even the non tax payers fill petrol and diesel so everyone pays taxes.
3. Lowering of promoter holding to 65 % will bring liquidity especially in the MNC stocks. It will lead to more participation by the retail population.
4. Borrowing in foreign currency will strengthen the rupee and keep interest rates low.
This budget is the first step in the long term roadmap towards the 5 trillion dollar economy mark. The markets will react negatively initially but over the long term it is a buying opportunity.
The time to invest in good stocks is now and they will reward investors over a 5 year period.
11300-11500 can be considered as the base for the markets. The patient investor will be the one who will be rewarded.
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