Budget 2026: No Broad-Based Rally Expected, Focus on Selective Sectors

• Analysts predict a selective pre-Budget rally, not a broad-based market surge, ahead of Union Budget 2026.
• Historical trends show Nifty underperforming in January before budgets due to profit-booking and policy uncertainty.
• Sectors like infrastructure, defence, renewables, critical minerals, consumption, agriculture, and banking are expected to benefit from government focus.
• Companies like HG Infra Engineering, L&T, BEL, HAL, Mazagon Dock, NALCO, Tata Power, GMDC, UPL, Dhanuka Agritech, FACT, Coromandel International, HUL, ITC, M&M, SBI, and HDFC Bank are highlighted.
• Investors are advised to align portfolios with long-term growth themes and avoid aggressive positioning based purely on short-term expectations.

Why It Matters: Expect selective sector-specific gains, not a broad market rally, before Budget 2026 due to policy uncertainty.