Economy looks set for a rebound

Budget hopes, strong FPI inflows have kept the markets buzzing. Things may turn if the Budget disappoints

The Indian economy seems set for a rebound in growth prospects but there are worries on the fiscal consolidation front and inflation could be a concern going forward. As the Republic Day settlement beckons, it would be all eyes on the Budget which is less than a fortnight away. There are many conflicting rumours about possible tax changes in the GST and the Budget. 

Corporate results indicate that the economic rebound continued and broadened through Q3 (October-December 2017). Market leaders like HDFC Bank, Reliance Industries and Hindustan Unilever all beat consensus expectations. Infosys saw profits jumping, due to an one-off accounting adjustment