budget 2023, Budget 2023: What are the expectations of the stock market from the budget? – what is the share market expectation from budget 2023

New Delhi. Finance Minister Nirmala Sitharaman will present the country’s budget on 1 February. Everyone’s hopes are attached to this budget. The expectations of the common man and the special people are related to this budget. People are hopeful that the government will give relief to them in this budget. The stock market is also expecting from this budget. Investors are hopeful that the Finance Minister’s announcement will give them profits.

Stock market investors are expecting a balanced budget this time. He believes that in the general budget, the government will focus on job creation, increasing spending on infrastructure, controlling the deficit and improving the economy. Experts gave this opinion on Wednesday. There is a sluggish trend in the stock markets before the general budget. BSE Sensex has been almost flat this month. Even the quarterly results of the companies failed to enthuse the markets. However, positive movement was seen in some indices like IT and Bank.

Foreign portfolio investors (FPIs) have pulled out over Rs 16,500 crore from domestic stock markets so far this month. Apart from this, investors are also cautious due to the fear of inflation and global recession.

Narendra Solanki, head of equity research at Anand Rathi Shares & Stock Brokers, said that equity investors are expecting a uniform tax structure for capital gains in his upcoming Budget 2023 from the general elections.

He said that apart from this, investors would also like fiscal consolidation, which is necessary for financial stability in the economy. Investors are also looking forward to policy reforms to remove bottlenecks in the path of growth. These policy reforms include subsidies, a clear guideline for disinvestment targets and expediting privatization of PSUs.

Generally, silence is seen in the stock markets before the general budget. Finance Minister Nirmala Sitharaman will present the budget for the financial year 2023-24 on February 1.

Overall, six of the last 10 years saw an uptick before the budget, and six times a fall in the last 10 years after the budget.

VK Vijayakumar, Chief Investment Strategist, Geojit Financial Services, said, “The market will keep an eye on the fiscal deficit for FY 2023-24. A figure above six per cent will disappoint the market. But, its chances are less.

He further added that this proposal could have a negative impact on the market, if capital gains tax is hiked.

Sumit Chanda, founder and CEO of Jarvis Invest, said if there is more disposable income in the hands of the salaried class and corporates, the market will go up.

He added that any change in the tax slabs of the salaried class or any stimulus to corporates in the form of capital expenditure or lower taxes would be considered positive and a post-budget rally in the market can be expected.