The month of January is important each year to analyse the market and sectors, especially before the Union Budget announcement. The gains or losses in sectoral indices in January reflect the market mood and expectations before the Union Budget. This year, Nifty Realty stood as the best-performing index in the month of January amid high expectations of reforms soothing the pain in the sector.

Share Market Live

NSE

In January, Nifty Realty jumped 12.23 percent followed by Nifty FMCG (+3.11 percent) and Nifty IT (+2.77 percent). Meanwhile, Nifty Metal was the worst-performing index last month as it plunged 8.94 percent due to the escalating concerns between the US and China, and the coronavirus outbreak in China.

In the Nifty Realty index, shares of Indiabulls Real Estate rallied 60 percent, Sunteck Realty surged 13.06 percent and Sobha rose 11.52 percent. Other stocks like Brigade Enterprises and Godrej Properties rose 9.09 percent and 9.01 percent respectively.

Also Read:

Budget 2020: Key proposals and stocks to watch out for on the D-day

Today, Finance Minister Nirmala Sitharaman is likely to make announcements for the realty sector that may include expansion of the definition of affordable housing by carpet area or ticket price. Improving liquidity in the real estate sector, increase in deduction limit for home buyers and enhanced benefits of affordable housing projects may be on the cards.

The move will be positive for real estate, housing finance companies (HFCs) and banks.

Stocks to watch: Brigade Enterprises, Mahindra Lifespaces, HDFC, LIC Housing Finance, Aavas Finance, Canfin homes, Axis Bank and State Bank of India.

First Published:Feb 1, 2020 11:00 AM IST