Railway stocks rallied today ahead of Interim Budget 2024 on expectations of higher capex allocation. Jupiter Wagons, Indian Railway Finance Corporation (IRFC), and Rail Vikas Nigam Limited (RVNL) lead the gains. Axis Securities predicts a 10-15% increase in government capex in FY25.
The Interim Budget 2024, to be presented by Finance Minister Nirmala Sitharaman, is expected to impact investors in rail, defence, and other capex-related stocks. The budget is likely to continue its focus on infrastructure development, including ports, airports, railways, and highways. Last year s budget allocated the highest percentage of expenses towards capex in two decades, indicating a long-term planning approach by the government.
The Nifty Private Bank index climbed 2.09 percent in the past week. However, on a year-to-date (YTD) basis, the index is down 5.07 percent. Some signs of short covering were seen on the day before the presentation of the budget.
Texmaco Rail share price: Bourses BSE and NSE have put the securities of Texmaco Rail under the long-term ASM (Additional Surveillance Measure) framework. Exchanges put stocks in short-term or long-term ASM frameworks to caution investors about high volatility in share prices.