Traders say bond yields could fall 10 to 15 basis points, while shares could hit new record highs. "I think the budget will be focused on both investors as well as the common man," said A. Balasubramanian, chief executive officer at Aditya Birla Sun Life Asset Management, adding he expects a deficit of 3.2 percent. "The government will take care so that the budget is neither inflationary nor fiscally less prudent. The risk that such a contingency is needed could keep the government in check. "I believe that there is a high chance that fiscal discipline is more likely to be maintained in this budget," said Lakshmi Iyer, fixed income head at Kotak Mutual Fund.

Source: Economic Times January 31, 2018 08:37 UTC