Finance Minister Nirmala Sitharaman will present the Union budget at 11:00 a.m. IST, in which the Indian government will likely seek to lower its fiscal deficit, while offering incentives for investment to taxpayers.
This is the last full-year budget before the national elections in 2024 and key state elections later this year.
All eyes will be on the budget, which could determine the trajectory of growth, and also the direction of interest rates given the borrowing programme that will be announced, said Lakshmi Iyer, chief executive-investment advisory, Kotak Investment Advisors.
India has pegged its economic growth at 6-6.8% in the 2023/24 fiscal year, the slowest in three years, at its pre-budget economic survey released on Tuesday.
Traders will also watch the budget for incentives to bring back foreign investors, who have piled out of the market.
Foreign institutional investors have sold 288.52 billion Indian rupees ($3.53 billion) worth of shares on a net basis in 2023 so far, according to official data.
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Budget Impact on Markets | Railway capital outlay at Rs 2.4 lakh crore; highest ever; railway stocks rally up to 4%
Price as on 01 Feb, 2023 11:37 AM, Click on company names for their live prices.
Budget Live: FM says govt to invest Rs 75,000 cr in transport infra projects
Budget Live: Railway outlay at Rs 2.40 lakh cr, highest ever –9X over FY14
Price as on 01 Feb, 2023 11:36 AM, Click on company names for their live prices.
Capital Outlay Impact | This is a positive development for domestic commercial vehicle space and more so for Medium and Heavy Commercial Vehicle (M&HCV) domain. Positive for Tata Motors and Ashok Leyland
– ICICI Direct
Budget Live: Effective Capex will be Rs 13.7 lakh cr; forming 4.5% of GDP
Finance Minister announces Capital Investment Outlay at ₹10 lakh crore for FY24E, up 33% YoY.
Price as on 01 Feb, 2023 11:33 AM, Click on company names for their live prices.
Budget live: “India raises target for farm credit to Rs 20 lakh crore,” says Finance Minister
#Budget2023WithETNOW | "India raises target for farm credit to Rs 20 lakh crore," says Finance Minister… https://t.co/3GtHdnm4vF
— ET NOW (@ETNOWlive) 1675231079000
Budget Live: Capital expenditure – FY24 outlay increased by 33% to Rs 10 lakh crore
Government to focus on enhancing cotton crop productivity by adopting cluster based approach with public private partnership model and enhanced use of advance technologies. | Impact: Positive for cotton textile players.
Price as on 01 Feb, 2023 11:29 AM, Click on company names for their live prices.
Finance Minister talks of setting up of Agriculture accelerated fund to promote Agri start-ups in rural India to improve farm productivity and farmers profitability. Measures to boost farm income in Union Budget 2023-24 is positive for farm mechanisation space with key beneficiaries being M&M and Escorts on the tractor front.
Price as on 01 Feb, 2023 11:28 AM, Click on company names for their live prices.
BUDGET IMPACT ON MARKETS | PSU Bank index tanks over 1%
Euphoria fizzles! Sensex 300-point off day’s high
Plan digital public infra for agriculture; agri accelator fund to be set up; Rs 2200 cr for high-value horticulture earmarked
Price as on 01 Feb, 2023 11:23 AM, Click on company names for their live prices.
Life Insurance Corporation of India says Raj Kumar has ceased to be MD
Price as on 01 Feb, 2023 11:21 AM, Click on company names for their live prices.
There is a large potential to be tapped in tourism. The sector holds huge opportunities for Jobs and Entrepreneurship for youths: FM
The promotion of Tourism will be taken in a mission mode with the active participation of states, the convergence of government programmes and Public-Private partnerships: FM; here are the top tourism & hospitality stocks in buzz
Price as on 01 Feb, 2023 11:18 AM, Click on company names for their live prices.
Budget live: “Govt efforts since 2014 ensured better quality life for all; we will give free food grains to all antodaya families for 1 year,” says Finance Minister
#Budget2023WithETNOW | "Govt efforts since 2014 ensured better quality life for all; we will give free food grains… https://t.co/eAIDuWtRXk
— ET NOW (@ETNOWlive) 1675230050000
Nifty Bank surges 1.5%; check out the top gainers from the pack
Top 10 gainers on NSE as Budget speech underway
Price as on 01 Feb, 2023 11:15 AM, Click on company names for their live prices.
Budget Live: Govt to have Expenditure of Rs 2 lakh crore for free food scheme to be borne by centre
- To give free food grains to antyodya families for one year
- Targetted benefits help in inclusive develoment
Govt to provide 5 KG grains for 81 crore people free of cost
Impact | This will result into food subsidy bill of Rs 2 lakh crore for the next 1 year: ICICIDirect
Top gainers as Budget speech begins
Price as on 01 Feb, 2023 11:12 AM, Click on company names for their live prices.
Budget live: “Indian economy now the 5th largest in the world,” says Finance Minister.
SENSEX TODAY | Index surges 600 points as Budget speech begins
Budget Live: FY23 GDP growth seen at 7%, the highest among all economies
Budget Live: Finance Minister tables Union Budget 2023-2024
- This is the first Budget in Amritkaal
- World has recognised Indian economy as a bright star
- India eco is on right track
- India heading towards bright future despite challenges
Markets ‘overpricing’ Indian banks’ risk from Adani exposure – Societe Generale
India’s Nifty Bank index lost as much as 7.7% to hit its lowest in three months since the New York-based short-seller alleged improper use of offshore tax havens and flagged concerns about high debt at tycoon Gautam Adani’s conglomerate. The broader Nifty index shed up to 4% over the period.
The allegations in the report, which the ports-to-energy conglomerate has denied, triggered a $65 billion rout in the Indian billionaire’s stocks.
JUST IN
#JustIn | Cabinet approves Union Budget 2023-24 #Budget2023WithETNOW @FinMinIndia #NirmalaSitharaman #Budget2023… https://t.co/bbPbYWdeTT
— ET NOW (@ETNOWlive) 1675228663000
NIFTY ABOVE 17,800
India factory growth slowed to 3-month low in Jan, hiring near pause
India’s manufacturing industry started the year on a weaker note, expanding at the slowest pace in three months in January as output and sales growth slackened, a private survey showed on Wednesday. The Manufacturing Purchasing Managers’ Index, compiled by S&P Global, fell to 55.4 last month from 57.8 in December, well below the 57.4 predicted in a Reuters poll.
These PSU bank stocks trade in the red ahead of Budget 2023
Price as on 01 Feb, 2023 10:36 AM, Click on company names for their live prices.
Sensex Today | Index surges 500 points, reclaims 60,000
JUST IN: Finance Minister arrives at Parliament
Sitharaman, sixth Finance Minister to present budget 5 times in a row
Finance Minister Nirmala Sitharaman is the sixth minister in independent India to present five consecutive budget, joining a select league of legends likes of Manmohan Singh, Arun Jaitley and P Chidambaram. Sitharaman’s budget for the fiscal year starting April 2023 is her fifth straight since 2019. Other ministers who have presented five straight annual financial statements include Arun Jaitley, P Chidambaram, Yashwant Sinha, Manmohan Singh and Morarji Desai. After taking charge of the Finance Ministry in the Modi Government in 2014, Jaitley presented five budgets in a row from 2014-15 to 2018-19.
Market LIVE Updates: Barring Adani Wilmar, all group companies extend slide to 5th session
Price as on 01 Feb, 2023 09:44 AM, Click on company names for their live prices.
In Pics | Finance Minister Nirmala Sitharaman as she leaves her office to present the federal budget in the Parliament
Ahead of Budget: Play on Disinvestment
Price as on 01 Feb, 2023 09:38 AM, Click on company names for their live prices.
JUST IN: Finance Minister meets President Murmu ahead of Union Budget
How fertilizer stocks are faring ahead of Budget
Price as on 01 Feb, 2023 09:31 AM, Click on company names for their live prices.
Nifty outlook by Anand James – Chief Market Strategist at Geojit Financial Services
Though the initial volatility submerged Nifty below our downsidemarker of 17600 for a while, the anticipated positivity was strong enough to keep the 17820 trajectory intact. We will begin the day with a base expectation of achieving the 17800 objective fully,with an optimistic target of 18000 in the near term. Downside Marker can continue to be near 17600, though it may be pushed higher to the 17700 vicinity once 17800 is cleared. Alternatively Slippage past 17600 may dilute all the positivity, but the prospects of a collapse need to be re considered only once wellabove 17820 or below 17400.
Morning view by Dr. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services
If the budget turns out to be good, with no unpleasant surprises, there can be short covering leading to spurt in the market. On the other hand, if there is some negative proposal like hiking the LTCGs tax to 20%, FIIs will continue to sell, pushing the markets further down. The Economic Survey reflects optimism on the growth and corporate earnings front. This augurs well for the markets in the medium term.
Rupee opens up 0.18% at 81.7700 per U.S. dollar; previous close 81.9200
Top movers in morning trade
Price as on 01 Feb, 2023 09:23 AM, Click on company names for their live prices.
Opening Bell: Sensex jumps 400 pts, Nifty above 17,750 ahead of Union Budget; IHCL, ICICI Bank rise up to 5%
BLOCK DEAL: 9.97% equity of Syngene traded
Price as on 01 Feb, 2023 09:13 AM, Click on company names for their live prices.
Pre-open session: Sensex jumps over 450 points; Nifty above 17,820
Track Record | How Nifty fares on Budget day!
JUST IN: Finance Minister arrives at North Block
Asian stocks firm, dollar on edge ahead of Fed decision
Asia’s stockmarkets steadied on Wednesday, with signs of a slowdown in U.S. wages bolstering hopes that the Federal Reserve could hint at an end to interest rate hikes at its meeting later in the day.
Oil rises as U.S. recession fears ease and dollar slips
Oil prices climbed on Wednesday underpinned by a weaker dollar, which fell on signs of slowing inflation in the United States, easing fears that the world’s largest oil user may face a recession because of further interest rate hikes.Brent crude futures gained 20 cents, or 0.2%, to $85.66 a barrel at 0128 GMT, while U.S. West Texas Intermediate (WTI) crude futures rose 34 cents, or 0.4%, to $79.21 a barrel, extending gains of about 1% in the previous session.
Quarterly earnings today
Britannia, Siemens, Ashok Leyland, Jubilant Foodworks, Tata Chemicals, Ajanta Pharma are among a host of companies that will announce their third quarter earnings on Wednesday.
SGX Nifty signals a positive start
Nifty futures on the Singapore Exchange traded 118 points, or 0.66 per cent, higher at 17,870, signaling that Dalal Street was headed for a positive start on Wednesday.
Tech View: Nifty forms small-bodied bearish candle
Ahead of Finance Minister Nirmala Sitharaman’s Budget presentation and US Fed meeting outcome, Nifty today formed a small-bodied bearish candle with a longer lower shadow on the daily time frame. Chart readers said support-based buying was seen at lower levels but the trend is taking pressure at higher zones.
Tokyo markets open higher
Tokyo stocks opened higher Wednesday following rallies on Wall Street, where US employment data helped allay concerns over wage inflation.The benchmark Nikkei 225 index was up 0.77 percent, or 210.57 points, at 27,537.68 in early trade, while the broader Topix index added 0.67 percent, or 13.26 points, to 1,988.53.
Wall Street gains over 1% after encouraging inflation data with Fed next
Major U.S. stock indexes closed over 1% higher on Tuesday as labor cost data encouraged investors about the Federal Reserve’s aggressive approach to taming inflation a day ahead of the central bank’s critical policy decision.
Rupee falls 36 paise to a 3-week low against USD ahead of Budget, Fed decision
The rupee depreciated by 36 paise to close at a three-week low of 81.88 against the US dollar on Tuesday after the Economic Survey 2022-23 said the domestic unit may remain under pressure on account of plateauing of exports and subsequent widening of the current account deficit.
Sensex, Nifty on Tuesday
The BSE Sensex index ended 49 points or 0.08% higher at 59,549, while Nifty50 rose 13 points or 0.07% to settle at 17,662.
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