Budget 2021 Expectations: The year 2020 has risen too. Coronavirus also brings great glory to traders and the general public. But by the end of the year, the stock market had given investors a 16 percent return.
Budget 2021 Expectations: The year 2020 has risen too. Coronavirus also brings great glory to traders and the general public. But at the end of the year, the stock market gave investors a 16 percent return. The market has also started in the new year with positive notes. Experts believe that in 2021, market assembly will continue. In this, the 2021 budget to be presented on February 1 will play a big role. The budget has been presented at a time when the government’s focus will give a new direction to the economy. The budget can play a big role in this. Experts believe that the government can make big announcements about disinvestment in the budget. At the same time, relief funds will also be available for sectors fighting Covid 19. The government is also expected to be the focal point of the budget in the infra sector.
Ajit Mishra, VP Research, Religare Broker, said the budget was being closely monitored by the stock market and investors. First, it is the government’s lost investment plan. Re-investment planning is a priority of the government. To meet this goal, the government can make big announcements. At the same time, a relief package will also be available for sectors struggling with Covid 19. It includes aviation, travel and tourism, hotel industry and multiplexes.
On the other hand, in order to accelerate the economy, the budget may also propose to increase expenditure in rural sectors, infrastructure and agriculture. The banking sector, which has been an underperformer for a long time, could be a priority for the government. Currently, all these markets will get support. He said that among the sectors that are expecting the fastest growth by 2021 are banking and telecom.
He says corporate earnings before the budget will also become a major factor in the market. Last year, the central bank took adequate liquid steps in the RBI market, which benefited. This trend of RBI may continue in 2021. As the financial situation on the domestic front is improving, so is the position of the NPA, which has strengthened sentiment.
Vineet Bolinzkar, head of research at Ventura Securities, believes that in 2021, the Sensex could touch the 51,500 level. At the same time, the Nifty could touch the 15,100 level. He says there is no shortage of liquidity in the market and companies have done better than business expected. This will help the market.
According to Hemant Kanwala, equity head at Kotak Mahindra Life Insurance, the market fluctuated due to Covid in 2020, but 2021 will be a year of vaccination, reopening and economic recovery for the market. However, experts believe that some corrections in the market can not be denied.