Hillary or Trump, GST Rate Will Be The Final Trump Card

A mid a number of significant global happenings and also sudden but crucial developments surroundings one of the largest business houses in India having a strong global presence, corporates are coming out with their second quarter numbers. Equity markets while taking cues from these numbers, also have been looking at the happenings beyond the geographical boundary of our country this festive season. Most of the eyes are directed towards developments related to the election of the US President while some are also staring once a while on the happenings in the Europe. While I believe and have reasons to have this conviction that whatever the outcome is, election for the First Citizen of the US will not affect much when it comes to the equity markets in India, I rather believe markets here have already discounted the related factors. Be it Donald Trump taking over from Obama or Hillary Clinton, Indian equity markets may react slightly during first half of November but will pick up its own pace soon after the new Prez takes the charge of Oval Office there.

Meanwhile, during the first week of November, the GST Council chaired by Union Finance Minister, Arun Jaitley will finalise the GST rate and that will pave the way for introduction of the uniform tax structure across the country. You can find a special report filed by our research hands on this also detailing how logistics and transportation sector may benefit immensely from this upcoming tax regime. We have also carried a detail report on investments in gold, not only as the precious yellow metal but also in paper form. I am sure you will find it as an interesting read especially when we all are gearing up to welcome the Goddess of prosperity, Lakshmi at our homes. In addition to all the regular features, this time our cover story talks about the stocks of public sector undertakings or public sector enterprises including the banks run by the government. An exhaustive research will lead you to right investment decisions in the right stocks of these government run companies. You can also find a report talking about the stocks of the defence items manufacturing companies helping you to get a detail understanding of this happening industry. Our research team has also identified few defence stocks in which you can invest your hard-earned money.

I will also like to tell you to keep a close watch on the stocks of the companies under the umbrella of the Tata Sons--with the latest development and legal frictions between the Tata Sons and its former chief, Cyrus Mistry, stocks are facing the brunt though they always remain fundamentally very strong. It may be a good time to pick some of those available at a lower price in these days when the entire group has been going through acute crisis.

When someone asks me about the market direction at this time, I will rather suggest to go for selective buying. The banking, NBFC and infra space remain favourite. Stay tuned with your favourite investment fortnightly and keep checking the recommendations coming from our team of experienced research personnel. I am sure you will benefit from their suggestions as they really care for your money. At DSIJ, we wish you a very bright and prosperous Diwali ahead.

Stay safe and invest wisely