US President Joe Biden has taken a big step to revive the economy. Biden has announced a tr 2 trillion infrastructure package to improve infrastructure. This infrastructure plan is being considered as the largest investment proposal of the current century. It will also affect the stock market, as the domestic stock market is affected globally. There are a lot of questions in the minds of investors.
The package has a positive impact on the market
The package had a positive impact on the Indian stock market. April 1, the first trading day of the fiscal year, the market gained momentum. Sensex has reached the level of 50 thousand again. All sectors except FMCG are closed at the green mark. Not just in India, the American package had a positive impact on global stock markets, so global markets gained momentum on Thursday. Asian and European markets, including Singapore, Japan, China, Britain and France, are closed in the green.
The stock market could rise further
The infrastructure package will increase the liquidity of the world’s largest economy in a big way and foreign institutional investors (FIIs) expect more gains whenever there is a rapid increase in liquidity in economic activities in a developed country. Come to the emerging developing market. Thus, it is expected that foreign investors will invest money in the domestic market, which could further boost the Indian stock market.
The market will also be affected by these factors
Although very wise, they are still holding high prices in the market despite recent amendments. Soon the companies will also release the results of the last quarter of the last financial year. In addition, investors will keep a close eye on corona issues and bond yields. The market will also be affected by these factors.
In the last two months of 2020, FIIs have invested Rs 1,13,000 crore in the market. The Sensex and Nifty gained a lot from this investment. In January and February 2021, foreign investors’ investments in equity were Rs. The Sensex reached 52,000 for the first time on February 15 after a large investment. At the same time, foreign investment declined to Rs 10,952 crore in March, followed by a decline in the market.