1. Infrastructure ๐๏ธ
Triggers:
- Government Capex Plans & Growth Targets
Action:
- Bullish: If capex allocation grows over 10% YoY, focus on infra, cement, steel, railways, and defense sectors.
- Bearish: If capex growth is muted/delayed or allocation is below 10% YoY (negative for underperforming PSUs & EPC companies).
2. Renewable Energy Capex ๐๐จ
Triggers:
- Bullish: If allocations for solar, wind, and hydrogen sectors increase and align with growth targets.
- Bearish: If fiscal deficit constraints lead to cuts in renewable energy spending.
Also Read – HOW TO MAKE MONEY BY TRADING IPO BASE BREAKOUT
3. Consumer Sectors ๐๐
Triggers:
- Tax relief for the middle class (unlikely, but if announced, could boost demand for autos, retail, and consumer durables).
- Rural schemes like increased MSPs or MGNREGA funds could benefit FMCG and tractor companies.
Action:
- Bullish: If rural/urban demand triggers are announced.
- Bearish: If the government focuses entirely on populist/freebie spending.
Read in Hindi here – เคฌเคเค เคเฅ เคธเคฎเคเฅเค เคเคธเคพเคจ เคญเคพเคทเคพ เคฎเฅเค!
4. Banking & Financials ๐ฐ๐ฆ
Triggers:
- Credit growth support: Expansion of credit guarantees for MSMEs (positive for PSU and housing stocks).
- Recapitalization of PSU banks (if announced, could lead to a rally in PSU banks).
Action:
- Bullish: For banks with strong NIMs (Net Interest Margins) if credit growth accelerates.
- Bearish: If NPAs rise due to populist farm loans or other measures.
5. Pharmaceuticals & Healthcare ๐๐ฅ
Triggers:
- Higher health infrastructure spending: Allocations to Ayushman Bharat could benefit hospital chains and diagnostics.
- R&D tax breaks: Could boost pharma innovators.
Action:
- Bullish: If the budget prioritizes healthcare spending.
- Bearish: If generic drug price controls are tightened.
Part 2 Coming Soon!
Stay tuned for more insights on the budget and its impact on key sectors.
Budget2024 #SectorWiseAnalysis #InvestSmart
