Market Strategy For Budget 2020

The biggest annual event in the form of Budget is staring at us. Often, it is advised to be cautious before a major market event. Yogesh Supekar and Geyatee Deshpande discuss what could be the best market beating strategy with just one month before the major event i.e Budget 2020!

- Yogesh Supekar and Geyatee Deshpande

Come February 2020 and everyone including the political class will be focussing on the state of Indian economy and start observing how the Finance Minister tallies the balance sheet of one of the largest and fastest growing economies in the world! It could be a frivolous experience for many bystanders to understand how the revenues and expenditure eventually match, however, for investors, the Budget figures are a serious business and the announcement may actually impact their fortunes.

The upcoming Budget is a major event because many believe that the Indian economy needs serious intervention and policy decisions to boost the economy. All hopes for the economic growth are now pinned on the government decisions. The need of the hour is an expansionary fiscal policy and Budget is one event that will express the strategy adopted by the government to boost the economy. The year 2019 has been an eye-opener for the current government even as it is widely perceived that the measures taken lately will help boost the economic condition of the country. The economic slowdown and the pain in the various sectors have taken everyone including the most optimistic ones by surprise.

With the realisation that the economy is in doldrums and positive intent shown on behalf of the government to solve the murky economic situation, investors are betting on market-friendly announcement in the Budget. The positive expectation this time around persists because the finance minister has been saying that the government will take any measures necessary to achieve the US$ 5 trillion economy target by 2025.