Expect market to touch new high before or around budget

ET Now: Do you think the best part of the pre-budget move is behind us or given the kind of environment we are in markets are on course to touch a new high before budget?

Vikas Khemani: I would tend to think that probably we are on the course to touch new high before budget or around budget. I do not agree before budget or after budget but in my whole hypothesis around that is global environment is fairly good, global liquidity scenario is very good and government is all set for a sort of all out to sort of make reform process a reality and they are doing step by step most of the things that they have promised and I would tend to think that budget would be a good document in terms of outlining fiscal consolidation, in terms of showing reasonably good amount of growth, most of the fronts divestment schedule and timeline for GST implementations so you will see lot of statements coming out of the budget and in my opinion unlike popular belief budget will not be populist, budget will be a fairly balanced budget.

Based on that I feel that if I were to juxtapose between global environment and sort of possible budget coming I definitely think that probably before in and around budget or before March you will see market getting into a new high and lots of foreign investors who have been waiting to see sort of way forward the budget would probably again come in and invest money.