<b>Devangshu Datta</b>: Optimistic but bracing for impact

With the Budget round the corner there are expectations of sops

Investors will suffer information overload in the next few weeks, as data are released and policies reviewed. Globally, inflation is rising, crude is up and the dollar is stronger. The European Union is hoping for a big earnings rebound after years of stagnation; the US is also hoping for earnings acceleration. A protectionist American administration is flexing its muscles even before taking charge. China is burning forex reserves to shore up the falling yuan, but Chinese growth is also picking up.

On the domestic front, the announcement of sundry Assembly elections and the advancement of the Union Budget has pushed