Railway Stocks Slump Following Rail Budget 2016

Business

oi-Sunil

By Sunil Fernandes

Published: Thursday, February 25, 2016, 13:51 [IST]

Shares in stocks that cater to the Railways came crashing down with most of the shares showing losses of near 3-4 per cent.

Texmaco Rail was down 4 per cent, while Kalindee Rail dropped 3 per cent and Kernex was down a near 5 per cent. Titagarh Wagons on the other hand dropped almost 2 per cent in trade.

There was much expectations from the Rail Budget on new planned outlay and rapid expansion, which would have benefitted these companies. However, markets seemed to have been disappointed on that count.

In fact, unlike the past markets have not gone into the event with great expectations. Even than the fall in railway stocks, shows that there is very little scope for disappointment given the weak global cues.

Stock markets would now eagerly await the Union Budget 2016, scheduled on Monday, though again it is going into the event with low expectations.

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