Posted By : Kishore B.S
Weather is getting hotter in Bangalore and election results are out. Uttar Pradesh whose population is more than Brazil, voted for the Samajwadi Party led by Mulayam Singh Yadav which is a setback for Congress, this might lead for reforms taking a back seat and the entry of Multi Brand Retail in cold storage.
The UPA Government at the center is not as strong as it was. The Markets reacted negatively to the results, but the fall is not severe.
The Budget is one aspect to be looked into and the markets might take a Que from that. Not much of problem for the market except a few days of excitement after the Budget and then the Markets might be stable.
Production is improving in the USA and Europe is getting stable. The main concern is the oil, prices of Crude are soaring to new highs and the Reliance group discovered oil wells known as D6 is drying up. This is a main concern for the markets with oil companies loosing on subsidy given to Diesel, kerosine and LPG, there might be a price increase which might lead to inflation thereby effecting Stock prices. Situation has to be waited and watched.