Union Budget 2026-27 Outlook **Current Sentiment** Investors are maintaining a watchful stance ahead of the Union Budget 2026-27, navigating a landscape complicated by persistent global and domestic headwinds. Market consensus is currently focused on whether the upcoming announcement can successfully balance fiscal prudence with necessary tax rationalization and growth-oriented reforms. **Key Monitorables** * **Market Alignment:** Assessing if policy measures can effectively reconcile the distinct interests of bond and equity markets. * **Capital Inflows:** Evaluating the budget's potential to reverse trends and revive Foreign Portfolio Investor (FPI) inflows. * **Earnings & Stability:** Determining if the proposed framework will provide structural support for corporate earnings while upholding India’s macroeconomic stability through disciplined deficit management.