Markets were up today, the main indices are going up due to the trading interest in top stocks. Actually there is a decline in stocks values. Participation by retail investors, is less and individual flow of money into direct stocks, is less.
Due to the cash allowance of INR 6000/ per year to farmers a lot of money on the whole, will be in farmers hands. This will lead to, more purchasing power for people thereby increasing the demand, for consumer staples like toothpaste, honey, candies etc,. Shares like, Dabur, marico , will do well as the demand for these products will be good. It is said that, the monetary allowance for farmers, will be increased year by year. The exemption of inr 6,00,000 per year of Income tax, will lead to a lot of money in peoples hands.
A lot of money, is expected to come in the form of Mutual funds and direct equity as a lot of money is there to invest. It is, good times for stock markets in general.
