Today, the bulls could remain powerful, as global cues are strong and there have not been too many nasty surprises from India Inc till now. The key indices are likely to open higher, though they might not be able to sustain the advance. Bulls are getting bolder and power is the buzz word right now, be it the Government trying to accelerate the pace of generation or private firms raising money to bankroll their plans. The market momentum, which tapered off post budget, seems to have been recharged in the past couple of days.
A few headwinds are yet to be conquered like the sluggish consumer spending in matured economies and high unemployment. What we have heard in the past few days is only a continuation of the ‘green shoots’ theory that led to the three-month rally. The economic and business recovery across the globe will be gradual rather than a swift one. Back home, among the key worries are with regard to the high fiscal deficit and its attendant fallout on inflation and interest rates.
