The entire global investors are looking for a great event this Saturday, when the finance minister of India, will be presenting the annual government budget initiatives for this year. The budget is expected to contain lot of stimulus initiatives including tax breaks for individuals and also for corporates.
Also the foreign institutional investors are looking for many investor friendly statements and initiatives from the government, which actually may not happen.
The government of India is already running on huge budget deficit, and it is no way possible for further stimulus spending by the government. The tax revenues are already going down and first three months has shown flat growth over last year, which means the government has to find more taxing ways, which may not be taken lightly by the stock market.
So if you are a stock market investor in India, it would be worthwhile to wait till this week end and then take a call on investing your monies. And if you are already invested in Indian stocks, it could make sense to book all profitable investments in the next two days and stay in cash for investing on steep crashes, if they happen next week.