IMPORTANCE OF AUTO INDUSTRY FOR INDIAN ECONOMY
Current slowdown in Economy.
Tamilnadu is The hub of Auto Industry
More then 3 Crs People are directly and Indirectly Employed due to Automobile Industry
More then 300 Automobile Delearship across the country has been closed.Vehicle sales are near to all time lows in last 2 decades.
Nissan Cuts Jobs
Maruti Cut Jobs & stops Production.
Mahindra and Mahinda Cuts Jobs
Toyato has Stopped production
Hyundai has stopped Production
Soon they will also cut Jobs
More than Ten Lakh Jobs are at Risk.
Automobile Sector Slowdown Affects :
🚩Plastic mould business
And Many more…
Just Remember to Make a Disel engine it requires more then 150 spare parts.
What lies ahead for Investor.?
Always remember Economic slowdown Generally begins with Automobile Sector.
This can be a good Opportunity to Build a good Portfolio with good Names at reasonable Valuations.
Government has taken steps to Revive economy in forms of Tax Relief such as :
Since Budget Day in July FPI have pulled nearly 3.4 billion $ from stock market & after such a bloodbath Govt reversed – surcharge on foreign portfolio investors.Simplified KYC for FPI
Super rich tax on HNI to be reviewed only in 2022
Most important level to watch on Nifty is 10700 is very Strong Support on downside as of now and on upper side Nifty would find difficult to cross 11050/11200 sustained RALLY only on above those levels.In short term Nifty might have made a bottom around lows of 10650 & is ready for bounce.
Nifty likely to be in range of 10700 -11200 for next few session.
But we feel bounce wont stay for longer period As Global Markets wont SUPPORT the bounce.We feel Nifty likely to test sub 10000 levels over a period of time.
If markets correct after a bounce back than that would really be a Cherry picking time to pick best of the business at Attractive valuations for longterm investment.
Making List of Quality Stocks and then Diwali and Christmas Festival 🎉🍻🎊 shopping should begin soon.
“Add During Panic Times when Stock available Dirt Cheap
Hold During Good Times & Dont miss to Book Profits near All Time High or When P/E is High.
And when you re confused- sit Ideal & keep Tracking & wait for opportunities “
This Creates Wealth over a Long Time.
Disc – All views expressed are personal and only for Educational & study purpose.Consult your financial advisor before investing or taking any position based on above article.