Today, it’s the season of recalls as far as the global auto industry is concerned even as the Indian auto story remains on a firmer footing so far. At the same time, policymakers across the globe, barring a few troubled spots, are reversing the crisis-fighting stimulus. India has already made its intentions clear on stimulus withdrawal as the economy has rebounded strongly. One only hopes that the UPA doesn’t succumb to political pressure on the issue of fuel price hike.
There might be some reversal on the bourses after two successive days of Budget-related gains. The start will most probably be a flat one due to uncertain global cues. US market erased bigger gains to close slightly higher. European indices did somewhat better and it’s a mixed bag for Asian markets.
The Budget has prevented further breakdown in sentiment but the upside too appears capped a little above these levels. Among the key factors to watch out for will be FII flows, which have turned positive again. Summer is here for now but it will be the dark clouds of monsoon which will bring the desired sunshine on the bourses.
