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  • Will LPG Cylinder Prices Increase Due to the Iran War?

    Will LPG Cylinder Prices Increase Due to the Iran War?

    Tension has increased in West Asia during recent weeks and events that involve Iran have started to influence the worldwide market for crude oil and natural gas. Those effects now show up in the price of liquefied petroleum gas inside India.During March 2026 the retail price of a fourteen kilogram household LPG cylinder in India moved upward by roughly sixty rupees – a refill in Delhi now costs about nine hundred thirteen rupees. Because of this change, many consumers ask whether the fuel used for cooking will carry an even higher price if the present geopolitical climate continues. The next section examines that question.

    Latest LPG Cylinder Prices in India (March 2026)

    CityPrice of a 14.2 kg LPG Cylinder (Approximate)
    Delhi₹913
    Mumbai₹912-₹915
    Kolkata₹939
    Chennai₹929
    • Recent Price Hike : At the beginning of March, oil companies raised the prices of domestic LPG. This hike amounted to approximately ₹60 per cylinder. Prior to this, the same cylinder was available in Delhi for around ₹853; consequently, this recent adjustment is being viewed as a significant price increase.
    • Commercial Cylinders : It is not just domestic gas that has become more expensive; the 19 kg commercial LPG cylinder has also seen a price hike. Its current price in Delhi stands at approximately ₹1,880.

    Why the Iran-Us War Is Affecting LPG Prices Globally

    • Impact on the Energy Supply Chain : Rising conflict in West Asia has placed increased pressure on oil and gas supply chains. Since a significant volume of energy is exported from this region, escalating tensions often lead to volatility in global oil and gas prices. Recent reports also indicate that this conflict has disrupted energy supplies, consequently impacting gas prices.
    • India’s Reliance on LPG Imports : India imports approximately 60% of its total LPG requirements, with roughly 85-90% of these imports originating from the Middle East.

    Consequently, any form of tension in West Asia can directly impact India’s gas supplies and pricing.

    • Why the Impact on LPG Becomes Apparent So Quickly : LPG is primarily transported via tanker shipments. If threats to shipping routes intensify or if insurance and freight costs rise imports become more expensive. The impact of such factors on LPG prices becomes apparent much sooner than it does on the prices of petrol and diesel.

    India’s Heavy Dependence on LPG Imports

    India has to import a significant portion of its LPG from abroad. Therefore, if tensions escalate in the Middle East or if shipping faces disruptions, it could impact India’s gas supply and prices.

    InformationEstimated Status
    Annual LPG Consumption in IndiaApproximately 32–33 million tons
    Share of imports in total requirementApproximately 60–65%
    Imports from the Middle EastApproximately 85–90%
    Main Supplying CountriesQatar, Saudi Arabia, UAE

    Early Signs of LPG Shortage in India

    • Signs of Supply Strain in Certain Areas : In recent days, reports from several states indicate that LPG supply has slowed down compared to normal levels. Complaints regarding increased bookings and delays in delivery have surfaced at gas agencies across numerous cities. In some locations, consumers are experiencing longer wait times to receive their cylinders.
    • Greater Impact on the Commercial Sector : The impact is being felt most immediately by the hotel, restaurant, and catering industries. The rising cost of commercial LPG, coupled with slower supply, has led to increased operational expenses for many small restaurants. Business owners in certain areas have also reported a significant rise in their gas-related costs.
    • Prioritizing Domestic Supply : The government is striving to ensure that gas supplies to domestic consumers remain unaffected. Consequently, whenever necessary, priority is given to ensuring LPG availability for households over the commercial sector, in order to minimize the impact on the kitchens of the general public.

    Read Also: Iran-US War Impact on Indian Stock Market

    How Much LPG Prices Could Rise if the War Escalates

    • If Tensions Subside Quickly : If the situation in West Asia returns to normalcy swiftly, significant fluctuations in LPG prices may not be observed. Recently, the price of domestic LPG cylinders in India rose by approximately ₹60. Provided that supply remains stable, future price movements are likely to be limited to only minor fluctuations.
    • If the Conflict Persists : If these tensions persist over an extended period, pressure on the international energy market could intensify. In such a scenario, the prices of crude oil and natural gas could rise. Since India imports a substantial portion of its LPG requirements, an increase in import costs could lead to a corresponding hike in cylinder prices.
    • If the Strait of Hormuz is Affected : The Strait of Hormuz is considered the most sensitive choke point for the energy market. A significant portion of the LPG destined for India passes through this very route. If shipping operations along this route face disruptions, supplies could slow down, potentially exerting upward pressure on prices.

    What the Indian Government Is Doing to Prevent a Crisis

    • Refineries Directed to Boost LPG Production : In the wake of the Middle East crisis, the government has taken emergency measures, directing oil refineries to increase their production of LPG. Companies have been instructed to utilize their available stocks of propane and butane to maximize LPG output, thereby ensuring there is no shortage of domestic gas.
    • Priority to Domestic Consumers : The government has directed oil companies to prioritize the supply of LPG to households. If necessary, supplies to the industrial and commercial sectors may be curtailed to maintain the distribution of domestic gas.
    • Priority for Ports and Shipments : To expedite the delivery of LPG tankers, priority is being accorded to LPG vessels at Indian ports, ensuring that the gas reaches the country swiftly and that there are no delays in supply.
    • Appeal Against Panic Booking : The government has also advised consumers to refrain from panic booking and to utilize piped gas (PNG) wherever possible, in order to alleviate pressure on the supply chain.

    Read Also: Best Stocks to Buy During War: Iran–US Tensions & Market Impact

    Conclusion

    The situation is currently unclear. If conditions in the Middle East stabilize quickly, LPG prices will not be significantly affected. However, if tensions persist, gas prices could rise. India imports a substantial portion of its LPG; consequently, events in that region could have repercussions here. The trajectory of prices in the coming days will be determined by how the situation evolves. Stay updated with the latest market news. Download Pocketful – offering zero brokerage on delivery and advanced tools for F&O trading on an easy-to-use platform.

    Frequently Asked Questions (FAQs)

    1. Is LPG likely to become expensive in India?

      If the situation outside worsens, prices may rise.

    2. Why are people talking about LPG prices right now?

      Because tensions have increased in the Middle East, and this could impact gas.

    3. Does India make all its LPG?

      No, India buys a lot of LPG from abroad.

    4. Are LPG cylinders available normally right now?

      Yes, the supply is normal right now.

    5. Should people worry about LPG supply?

      There is no need to panic right now, but the situation is being monitored.

  • Top 10 Day Trading Courses in India

    Top 10 Day Trading Courses in India

    Day trading attracts many investors who want to take advantage of short-term market movements. But trading within a single day requires you to have a strong understanding of the market and quick decision-making ability.

    This is why it becomes important for the day traders to learn the skill well. By doing so, they can reduce the chances of losses and complete the trades in a more structured and defined manner. So, if you are planning to do the same, you need to start with a well-designed day trading course.

    This helps you understand how markets move and identify better opportunities while managing risk. For beginners, learning through day trading courses can be a great start point. So, here are the top courses that you should consider.

    Top 10 Day Trading Courses in India (2026)

    Many traders start with free resources and then move ahead to the paid ones in a proper, structured manner. This allows them to get some key insights before they actually make an investment. 

    Below is a comparison of some well-known programs that traders often consider when searching for the best day trading course.

    Live SupportKey Intraday ToolsCertificationLanguagePrice (₹)Best for Capital
    GTF – Trading in the ZoneLifetime communityDemand-supply zones, GTF indicatorISOEnglish25k–35k
    Elearnmarkets Mentorship12-month supportMulti-asset trading toolsYesEnglish30k–50k
    Nifty Trading Academy – Timing the TradeLive batchesSangam entry setupsISOEnglish/Hindi15k–30k
    LearnApp – Systematic TradingCohort sessionsAlgorithmic rules and systemsYesEnglish15k–25k
    Avadhut Sathe – GEO+ ProgramWhatsApp groupsTechnical analysis strategiesYesEnglish20k–35k
    Trendy Traders – Trade Like a ProWorkshopsScenario-based tradingYesEnglish20k–40k
    Rachana Ranade – Technical AnalysisMonthly Q&A sessionsCandlestick and chart patternsYesEnglish10k–20k
    NIFM – Advance Intraday Trading TechniqueLive classesGap trading, scalping setupsYesHindi/English8k–20k
    BSE Academy – Practical Trading ProgramsInteractive sessionsMarket structure analysisYesEnglish15k–25k
    Zerodha Varsity – Trading ModulesSelf-pacedTechnical indicators and F&O basicsNoEnglishFree

    Overview ofTop 10 Day Trading Courses in India (2026)

    1. GTF – Trading in the Zone

    This day trading course focuses on price action and demand-supply trading concepts. The program teaches traders how to identify institutional trading zones and understand intraday price movement using multi-timeframe analysis.

    The course includes around 20 live sessions along with lifetime access to recordings and private mentorship groups. Traders also learn sector rotation, gap trading strategies, market traps, and risk management rules that typically limit losses to about 1–2% per trade.

    2. Elearnmarkets – Multi-Asset Trading Mentorship

    This day trading training program focuses on long-term mentorship and practical trading exposure. The course runs for about a year and covers everything. You will learn equity, derivatives, and commodity intraday trading strategies.

    Participants attend live sessions, receive feedback from multiple mentors, and practise strategies through real-time market discussions. The extended mentorship structure helps traders build discipline and improve strategy execution over time3. Nifty Trading Academy – Timing the Trade

    This day trading course focuses specifically on intraday trading in indices like Nifty and Bank Nifty. The program introduces proprietary setups such as Sangam entries, which combine multiple indicators to confirm trading opportunities.

    Students learn how to identify breakouts, avoid false market moves, and confirm trades using volume and timing signals. The course also includes practical chart drills that help traders apply strategies during live market sessions.

    4. LearnApp – Program in Systematic Trading

    LearnApp offers a structured day trading training program based on systematic trading principles. The focus in this is not on discretionary decision-making, but traders learn how to follow rule-based systems.

    The program includes cohort sessions, strategy backtesting exercises, and peer discussions. Participants also study position sizing techniques, drawdown control, and how algorithm-like trading systems can improve consistency.

    5. Avadhut Sathe – GEO+ Program

    The GEO+ program focuses on technical analysis combined with community-based learning. This day trading course includes live sessions, recorded lessons, and discussion groups. In all these, the traders review real market setups.

    Participants learn intraday trend analysis, emotional control, and disciplined execution during volatile market conditions.

    6. Trendy Traders Academy – Trade Like a Pro

    This best day trading course contender focuses on professional trading scenarios. It helps you to learn advanced market analysis. Students learn through case studies, simulated trading environments, and live workshops.

    The program also emphasises risk management practices. This also teaches traders how to analyse different market conditions before executing trades.

    7. Rachana Ranade – Technical Analysis Course

    This program is often recommended among day trading courses for beginners. The main reason is that it focuses on building strong technical analysis fundamentals. The course explains candlestick patterns, support and resistance levels. You will also be able to learn the chart-based trading setups.

    Students typically receive recorded lessons, quizzes, and access to periodic live sessions where they can clarify concepts and discuss market behaviour.

    8. NIFM – Advance Intraday Trading Technique

    This day trading training program focuses on advanced intraday strategies. You will be able to learn plans such as gap trading, scalping, and momentum reversal setups. Classes are conducted in both Hindi and English to make the course accessible to a wide audience.

    Participants also learn how to interpret volume spikes, options time decay, and price patterns that often appear during active trading sessions.

    9. BSE Academy – Practical Trading Programs

    BSE Academy provides structured day trading courses designed around real market conditions. The programs combine theory with practical exercises to help traders understand how trading strategies are applied in real markets.

    Because the program is associated with the Bombay Stock Exchange, many learners find it useful for gaining structured market education.

    10. Zerodha Varsity – Trading and Technical Analysis Modules

    Zerodha Varsity is a widely used free resource for traders who want to start learning before joining a paid day trading course. The platform offers self-paced modules covering technical analysis, derivatives, and trading psychology.

    The course is known to offer structured chapters and quizzes. This makes it one of the most popular starting points for people exploring day trading courses for beginners.

    Read Also: Top 10 Best Trading YouTube Channels in India for 2026 | Learn Trading Free

    Things to Consider When Selecting a Day Trading Course

    Choosing the right day trading course can make a big difference. It can help you understand the points and details that can guide you to make the right trading calls. But at the same time, you need to select a course that addresses most of your needs. 

    Some of the things that you should consider while selecting a course are as follows:

    • See what all things are covered in the course.
    • Look for a course that helps you with the fundamental and technical analysis as well.
    • If the course offers you live sessions and practical examples, then it is the best choice.
    • Ensure that you have access to mentors and the community to connect and discuss.
    • Pricing, plan, time, and offerings all should match your learning needs.
    • Transparent sharing of all the details will make it easier for you to understand.
    • Certification may not guarantee trading success, but it can add credibility.
    • Flexibility in learning can be a great help.
    • A review of past students can help you see the outcomes offered.

    Read Also: 10 Best YouTube Channels for Stock Market in India

    Conclusion

    Learning intraday trading requires more than watching charts or following random market tips. A structured day trading course can help you with the correct setup that you need. It can guide you on how to select the trades and work in the market that is accurate.

    And if you are new to trading and looking for a platform that can help you while learning, then register with Pocketful. Get access to the tools, insights, and support you need to ensure you trade better.

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    Frequently Asked Questions (FAQs)

    1. Which is the best day trading course in India?

      The best day trading course depends on your experience level and learning preference. Some traders prefer mentorship-based programs, while others choose structured online modules. The choice will be based on what your aim is exactly.

    2. Are day trading courses worth it for beginners?

      Yes, many day trading courses for beginners focus on building fundamental knowledge. You will start from the basics of the market and then move to analysis. Once you do, you can slowly practice in real life. This makes them effective.

    3. How long does it take to learn day trading?

      The learning timeline varies for each trader. Some basic concepts can be understood within a few weeks, but mastering day trading often requires months of practice and experience with real market conditions.

    4. Do day trading courses guarantee profits?

      No, a day trading course cannot guarantee profits. Trading always involves market risk. This means there is always a chance that your trade might end in a loss. But with the right skills and knowledge, you can manage well and ensure risk is minimal.

    5. Can I learn day trading for free?

      Yes, there are free resources available for day trading training. The choice will be based on what you need to learn. 

  • Overnight Funds vs Liquid Funds: Which Is Better?

    Overnight Funds vs Liquid Funds: Which Is Better?

    In case you have some extra money and want to invest for the short term with an objective to maintain liquidity and get some return. There are various options available in the debt category of mutual funds. Among them, the most preferred investment options to park idle money are overnight and liquid funds.

    In today’s blog post, we will give you an overview of overnight funds and liquid funds, along with their key differences.

    What are Overnight Funds?

    Overnight funds are a category of debt mutual funds that primarily invest money in fixed-income instruments with a maturity of just one day. As investments are made in very short-term debt instruments, the investor considers them the safest option to park their money.

    Features of Overnight Funds

    The key features of overnight funds are as follows:

    1. One-Day Maturity: The overnight fund invests its money in securities that mature within one day.
    2. Low Return: The returns are low because the maturity of the instrument is extremely short i.e. 1 day only and the amount gets reinvested daily.
    1. Low Interest Rate Risk: The interest rate risk in the overnight fund is very low, as the funds are least affected by changes in interest rates.
    2. Very Low Credit Risk: Overnight funds generally invest in high-quality debt instruments, reducing the risk of default.

    What are Liquid Funds?

    A liquid fund is a debt mutual fund offered by an asset management company which invests the money collected from the investor in fixed-income securities having a maturity of up to 91 days. The objective of these funds is to provide liquidity along with returns. It invests the money in instruments such as commercial papers, treasury bills, certificates of deposits, etc. A liquid fund offers a slightly better return than a savings account.

    Features of Liquid Fund

    The key features of a liquid fund are as follows:

    1. Liquidity: Investment in a liquid fund is highly liquid. One can easily redeem their money, and the amount is credited to their bank account within one working day.
    2. Better Returns: Liquid funds often yield higher returns than savings accounts. This makes it attractive for investors who keep their money idle in their bank accounts.
    3. No Lock-in: Liquid funds do not come with any lock-in period. It allows investors to withdraw their money at any time.
    4. Professional Management: Investments in liquid funds are managed by the asset management companies’ professional, experienced fund managers. 

    Read Also: Liquid Funds Vs Ultra Short Fund: Which One Should You Choose?

    Difference between Overnight and Liquid Funds

    The key difference between overnight and liquid funds is as follows:

    ParticularsOvernight FundsLiquid Funds
    Duration of InvestmentThe overnight funds invest in securities having a maturity of 1 day.A liquid fund invests the money in debt securities having a maturity of up to 91 days.
    RiskThese funds have the lowest risk among all other debt mutual funds.A liquid fund also carries lower risk, but has higher risk than overnight mutual funds.
    Volatility due to Interest RatesThere are no or low risks related to changes in interest rates on overnight funds.Liquid funds generally have slightly higher interest rate risk than overnight funds due to longer maturity.
    ReturnsOvernight funds have the lowest returns.Liquid funds post higher returns than overnight funds.
    Default RiskThese funds have almost zero default risk.As the securities have a slightly higher maturity, they carry a higher default risk.
    Ideal Investment DurationThe investment in overnight funds is suitable for 1 to 7 days.Investment in a liquid fund is suggested for 3 to 6 months.
    SuitabilityInvestment in overnight funds is suitable for big institutions.Liquid funds are suitable for retail or individual investors to park their money.
    Expense RatioOvernight funds have a lower expense ratio.Liquid funds have a slightly higher expense ratio than overnight funds.
    Portfolio Turnover RatioOvernight funds have a higher portfolio turnover ratio as the money is reinvested every day.Liquid funds have a moderate portfolio turnover ratio as the securities in the portfolio are held for a few periods.

    Where should you invest your money: Overnight or Liquid Fund

    The decision of whether to invest in the Overnight Funds or Liquid Funds largely depends on how long you want to invest and your preference for risk. When you want to invest for a very short time, say a few days, and you want to have maximum safety with almost no interest rate risk, then overnight funds may be an appropriate choice since they invest in securities that mature after only a single day. Alternatively, when you are looking at a period of a few weeks or up to a few months and aiming at relatively higher returns, and the risk is also not that high, liquid funds can be a better option. Overnight funds are mostly suitable for overnight parking of money, in simple terms, whereas liquid funds are best for short-term investments and emergency funds.

    Read Also: ETF vs Index Fund: Key Differences You Must Know

    Conclusion

    On a concluding note, both overnight funds and liquid funds are suitable options for investors who want to park their money for the short term with an objective to earn a return with liquidity. These two funds are low risk and offer high liquidity, which typically means you can easily withdraw your money as needed. Overnight funds invest in securities that have a maturity of just one day, while liquid funds invest money in securities that have a maturity of up to 91 days. However, choosing among them depends on the investor’s risk profile and investment horizon; therefore, it is advisable to consult your investment advisor before making any investment decision. 

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    Frequently Asked Questions (FAQs)

    1. Are overnight funds safer than liquid funds?

      Both liquid funds and overnight funds are safer investment options. But overnight funds are slightly safer than liquid funds as they invest in fixed income securities that have a maturity of one day.

    2. Which offers higher returns among overnight funds and liquid funds?

      Liquid funds offer slightly higher returns than overnight funds, because liquid funds invest in fixed income securities with longer maturity and higher coupons.

    3. Do liquid funds have any lock-in period?

      No, liquid funds do not have any lock-in period, but some liquid funds have an exit load.

    4. Do overnight funds and liquid funds offer guaranteed returns?

      No, neither overnight nor liquid funds offer guaranteed returns. As the returns of these funds are market-linked.

    5. Can I start SIP in overnight and liquid funds?

      Yes, you can easily start a SIP in overnight and liquid mutual funds.

  • Iran-US War Impact on Indian Stock Market: Stocks That May Rise or Fall

    Iran-US War Impact on Indian Stock Market: Stocks That May Rise or Fall

    The escalating tensions surrounding the Iran–US conflict are having a direct impact on both the global oil market and the Indian stock market. Following the emergence of a potential war scenario, crude oil prices surged rapidly, and risk sentiment heightened across global markets. Concurrently, the Indian market witnessed a downturn, resulting in a recorded decline of over ₹23 lakh crore in investor wealth. Since India imports approximately 85% of its crude oil requirements, rising oil prices inevitably impact various sectors and individual stocks. In this blog, we will explore which Indian stocks are being affected both negatively and positively by the Iran-US conflict, and the reasons behind these impacts.

    Why the Iran-US War Is Impacting the Indian Stock Market? 

    • Rising Crude Oil Prices : Escalating tensions in the Middle East, triggered by the Iran–US conflict, have heightened uncertainty within the global crude oil market. Amidst this situation, Brent crude prices have surged rapidly, with several reports suggesting they could reach the range of $95–$100 per barrel. When oil prices rise, import-dependent economies like India face a direct impact, as the country procures approximately 85% of its crude oil requirements from abroad.
    • Strait of Hormuz Supply Risk : The Strait of Hormuz is the most critical route for the global oil supply, through which approximately 20% of the world’s oil trade passes. Nearly 40% of India’s oil imports arrive via this route. If a disruption occurs along this route due to the Iran–US conflict, both oil supply and prices could be adversely affected.
    • FII Selling and Market Pressure : When geopolitical tensions escalate, foreign investors often withdraw capital from emerging markets. Consequently, increased FII selling in India exerts downward pressure on key indices such as the Nifty and Sensex.
    • Impact on the Rupee and Inflation : Rising oil prices inflate India’s import bill, which can intensify pressure on the Rupee and heighten inflation risks. This, in turn, impacts the profitability of various sectors as well as overall market sentiment.

    Stocks Most Negatively Affected by the Iran–US War

    The most significant impact of an Iran–US conflict falls upon oil prices and transportation costs. When tensions escalate in the Middle East, crude oil becomes more expensive, and the effects are felt first in those sectors whose operating costs are heavily dependent on energy and fuel.

    Sectors and Stocks Under Pressure by the Iran-US War

    SectorKey Indian Stocks
    AviationInterGlobe Aviation, SpiceJet
    Oil MarketingIOC, BPCL, HPCL
    Paint And ChemicalsAsian Paints, Berger Paints, Pidilite
    AutomobileMaruti Suzuki, Tata Motors
    Cement & InfrastructureUltraTech Cement, ACC, Shree Cement

    1. Aviation Sector

    Fuel constitutes the largest expense for airline companies. A rise in crude oil prices drives up the cost of ATF (Aviation Turbine Fuel), thereby increasing the operating costs for airlines.

    Key Affected Stocks : 

    • InterGlobe Aviation (IndiGo)
    • SpiceJet

    When fuel costs rise, airline profits decline; consequently, aviation stocks often remain under pressure during periods of geopolitical tension.

    2. Oil Marketing Companies (OMCs)

    Oil marketing companies refine crude oil and sell petrol and diesel. When crude oil prices rise suddenly, these companies’ costs increase; however, it is not always possible to raise fuel prices immediately.

    Key Affected Stocks

    • Indian Oil Corporation (IOC)
    • Bharat Petroleum (BPCL)
    • Hindustan Petroleum (HPCL)

    Consequently, volatility and a decline are often observed in OMC stocks during periods of oil price spikes.

    3. Paint and Chemical Companies

    Paint and specialty chemical companies utilize various raw materials derived from crude oil. When oil prices rise, their input costs increase.

    Key Affected Stocks : 

    • Asian Paints
    • Berger Paints
    • Kansai Nerolac
    • Pidilite Industries

    Rising raw material costs can lead to a contraction in these companies’ profit margins.

    4. Automobile Sector

    Rising fuel prices also impact vehicle demand. Furthermore, an increase in transportation and logistics costs can affect the overall cost structure of auto companies.

    Key Affected Stocks : 

    • Maruti Suzuki
    • Tata Motors
    • Ashok Leyland

    During such times, volatility within the auto sector often tends to increase.

    5. Cement and Infrastructure Sector

    The cement industry is energy-intensive, involving significant fuel and transportation expenses. Rising oil and energy prices can lead to an increase in the operating costs of cement companies.

    Key Affected Stocks : 

    • UltraTech Cement
    • ACC
    • Shree Cement

    As a result, the cement sector may also come under pressure during periods of energy price spikes.

    Read Also: Best stocks to buy in wartime as Iran-US clash intensifies

    Stocks That Benefit From the Iran-US War

    Concerns regarding energy supplies tend to escalate during an Iran–US conflict. When oil prices rise or global trade routes are disrupted, certain sectors may actually stand to benefit directly.

    Sectors That May Benefit From the Iran–US War

    SectorMajor Stocks
    Oil ExplorationONGC, Oil India
    EnergyReliance Industries, Vedanta
    ShippingGreat Eastern Shipping, SCI
    DefenceHAL, BEL, Bharat Dynamics

    1. Oil Exploration Companies

    When crude oil prices rise, the earnings of oil producers increase, as these companies derive their revenue directly from oil production and sales.

    Key Stocks

    • ONGC
    • Oil India

    During spikes in oil prices, the earnings of these companies tend to strengthen; consequently, investors keep a close watch on these stocks in the market.

    2. Large Energy Companies

    Some Indian companies operate in both the energy and petrochemical sectors. A rise in oil prices can provide a boost to their energy businesses.

    Key Stocks

    • Reliance Industries
    • Vedanta

    Sustained strength in energy demand and commodity prices provides support to various segments of these companies.

    3. Shipping Companies

    During periods of tension in the Middle East, there are shifts in oil and cargo transportation patterns. Frequently, tanker freight rates rise, which can lead to an increase in the income of shipping companies.

    Key Stocks

    • Great Eastern Shipping
    • Shipping Corporation of India

    An uptick in shipping demand can lead to an improvement in the earnings of these companies.

    4. Defence Sector

    During times of global conflict, there is a likelihood of increased defence spending. This can result in new orders for companies engaged in the manufacturing of defence equipment.

    Key Stocks

    • Hindustan Aeronautics (HAL)
    • Bharat Electronics (BEL)
    • Bharat Dynamics

    India’s defence manufacturing sector is expanding rapidly, and export orders are also on the rise; therefore, stocks within this sector attract particular attention during such times.

    Key Market Indicators to Watch During the Iran–US War

    • Crude Oil Prices : The oil market is the first to react whenever tensions escalate in the Middle East. Since India is heavily dependent on oil imports, a rise in crude oil prices can quickly shift market sentiment.
    • Strait of Hormuz Developments : Approximately 20% of global oil shipments pass through this route. If military tensions intensify in this region, both oil supply and shipping activity could be adversely affected.
    • Global Markets : The impact of market movements in the US and Europe is often reflected in Asian markets during the subsequent trading session. Global indices tend to experience a sharp surge in volatility whenever news regarding conflicts such as war emerges.
    • Defence Spending News : During times of geopolitical conflict, the defence sector invariably comes into the spotlight. Given that India has allocated a defence budget exceeding ₹7.8 lakh crore for FY2026, investors keep a keen eye on defence companies.
    • FII Activity : In such circumstances, foreign investors often seek to mitigate risk. If Foreign Institutional Investors (FIIs) engage in sustained selling, the repercussions are inevitably felt across Indian indices.

    Key Takeaways for Indian Investors

    • News-driven trading intensifies : In situations resembling war, the market often reacts more to news headlines than to underlying fundamentals; consequently, one may witness both sudden spikes and sharp declines.
    • Keep an eye on commodity-linked stocks : Movements in stocks related to oil, metals, and energy often fluctuate in tandem with global commodity prices.
    • The impact on export companies may vary : A weakening Rupee can prove beneficial for certain export-oriented companies, particularly those within the IT and pharmaceutical sectors.
    • The market focuses on the shipping and defense sectors : As global tensions escalate, activity within these sectors specifically regarding logistics routes and defense orders tends to increase.
    • Risk management becomes essential : During such times, investors typically steer clear of over-leveraged positions and place a greater emphasis on portfolio diversification.

    Conclusion

    Market volatility has intensified due to the conflict between Iran and the US. Oil prices and global news are impacting various sectors. The shares of some companies have come under pressure, while activity has surged in sectors such as energy, defense, and shipping. In such times, it is crucial for investors to avoid making hasty decisions and to take action only after carefully observing market developments. 

    Stay ahead with the latest market trends, Download Pocketful – enjoy ₹0 brokerage on delivery & ETFs, powerful F&O trading tools, and a simple, user-friendly trading platform.

    Frequently Asked Questions (FAQs)

    1. Which sectors are most affected by the Iran-US war?

      Aviation, oil marketing, auto, and paint sectors are most affected.

    2. Which sectors may benefit from the Iran–US war?

      Activity may increase in the oil exploration, defense, and shipping sectors.

    3. Why does crude oil affect the Indian market?

      India imports a lot of oil, so when oil becomes expensive, costs for many companies increase.

    4. Is the stock market always negative during wars?

      No, some sectors fall, but some sectors also see growth.

    5. Which stocks do investors usually track during such conflicts?

      ONGC, Oil India, HAL, BEL, and some shipping companies are often monitored.

  • What Is the Turtle Trading Strategy?

    What Is the Turtle Trading Strategy?

    The Turtle Trading Strategy is considered one of the world’s most famous trading methods. It was developed in the 1980s as an experiment to prove that trading can be taught with the right rules. This system emphasizes trend-following and rule-based trading. Even today, many professional traders and new investors understand the principles of the Turtle Trader, as breakout and trend strategies are widely used in today’s Indian stock market.

    The Origin of Turtle Trading

    The Famous Trading Experiment

    The story of turtle trading began in the 1980s, when a fascinating debate arose between renowned commodity trader Richard Dennis and his colleague William Eckhardt. Dennis believed that if someone was taught the right rules and systems, they could become a successful trader. Eckhardt, on the other hand, believed that trading was an innate talent. To test this debate, they launched an experiment in which ordinary people were selected and taught a trading system with a set of rules.

    Who Were the Turtle Traders?

    Advertisements were placed in newspapers inviting people to apply for this experiment. From the thousands of applications, a small group of participants was selected, with no prior trading experience. These participants underwent approximately two weeks of training, in which they were taught clear rules for trend-following trading systems, breakout entries, risk management and position sizing. After the training, they were given the opportunity to trade with real capital. These trained traders were called “turtle traders.”

    Results of the Experiment

    The results of this experiment were impressive. Many turtle traders earned millions of dollars in profits and the group generated over $100 million in profits over years. This experiment became an important example in trading history because it proved that trading can be taught with systematic rules and discipline. Even today, many professional traders and hedge funds adopt the principles of trend-following and systematic trading, which are believed to have been inspired by the turtle trading experiment.

    What Is the Turtle Trading Strategy?

    The Turtle Trading Strategy is a trend-following trading system in which traders identify a strong market trend and enter trades in that direction. This strategy primarily utilizes price breakouts, meaning entries are made when the price of a stock or asset surpasses a previous significant level (such as a recent high). The objective of this system is not to trade small fluctuations but to capture the larger trend and profit from it.

    Key Principles of the Strategy

    Turtle trading is based entirely on a rule-based approach. There are pre-defined rules for entering trades, determining position sizes, and exiting trades. This reduces the likelihood of emotional decisions in trading. A key principle of this system is that when a strong market trend forms, traders stay with that trend, allowing profits to grow. Special attention is also paid to risk management so that a single trade does not significantly impact capital.

    Why Trend-Following Works in Financial Markets 

    Momentum and trends are often observed in financial markets. Sometimes, positive news, strong fundamentals, or increasing demand for a sector or stock can cause prices to move in one direction for a long period of time. Similarly, a negative trend can also develop during a downtrend. This is why many large institutional investors and hedge funds also use the trend-following model, as this strategy helps capture strong market movements and provides an opportunity to trade systematically.

    Read Also: What is Spot Trading and How Do You Profit?

    Key Rules of the Turtle Trading System

    • Entry Rules (Breakout Trading) : Entry into Turtle Trading occurs when the price of a stock or asset surpasses its previous 20-day high or 55-day high. This is called breakout trading. The idea behind this rule is that when the price breaks above the previous high, the market increases the likelihood of a new trend.
    • Exit Rules : This system also has clear rules for exiting a trade. Typically, a position is closed when the price falls below the 10-day low or 20-day low. The purpose is to preserve profits and exit quickly if the trend weakens.
    • Stop Loss Rules : A stop loss is placed on every trade to protect capital. If the price moves in the opposite direction to the set level, the trade is closed to limit losses. This rule helps prevent large losses.
    • Position Sizing Rules : In turtle trading, position sizes are determined based on market volatility. Smaller positions are taken in assets with higher volatility and larger positions in assets with lower volatility, so that the risk in each trade is balanced.

    Risk Management in Turtle Trading

    • Limiting Risk Per Trade : In the Turtle Trading System, risk is limited per trade. Typically, only about 1% to 2% of the total trading capital is risked. This has the advantage that even if some trades go wrong, the total capital is not significantly affected.
    • Using Pre-Determined Stop Losses : In this strategy, a stop loss is pre-determined for each trade. If the price moves in the opposite direction than expected, the trade is immediately closed. This prevents large losses and protects capital.
    • Avoiding Emotional Decisions : Turtle trading is completely rule-based. Decisions are not made based on greed, fear, or haste. Entry and exit are made according to set rules, which makes trading more disciplined.
    • Controlling Position Size : The amount to invest in each trade is determined by market volatility and risk level. Maintaining the right position size balances risk and prevents unnecessary stress on the portfolio.
    • Discipline in Trading : Discipline is the most important part of turtle trading. The trader must consistently follow the rules. If the system’s rules are followed, stable results can be achieved over the long term.

    Read Also: What Is Day Trading and How to Start With It?

    Applying Turtle Trading in the Indian Stock Market

    Many traders in the Indian stock market use a breakout strategy to catch trends. A common method is to track stocks that have broken out above the previous day’s high. When a stock’s price rises above the previous day’s high with volume, it is considered a potential bullish signal. Many intraday and swing traders enter based on similar breakout levels and try to trade with the trend.

    In Which Markets Is Turtle Trading Useful?

    The principle of turtle trading can be applied to many financial markets because it is entirely based on a trend-following approach.

    This strategy is primarily considered useful in the following markets:

    • Equity Market
    • Commodity Market
    • Futures and Derivatives

    When a clear trend is formed in the market, these strategies can yield better results because they aim to capture the larger trend, not small movements.

    Use of Stock Screening Tools

    Many traders today use online tools and scanners to find potential breakout stocks. Pocketful’s Screener helps traders find stocks that are showing breakouts, high volume, or strong momentum. This scanner allows traders to quickly identify potential trading opportunities and shortlist stocks that fit their strategy.

    Example of a Simple Turtle-Style Trade

    Step 1: Identifying a Breakout Level

    First, stocks are identified that are trading near their key resistance level or recent high. Turtle trading often looks at levels like the 20-day high or 55-day high.

    Step 2: Confirming the Breakout

    When the stock price breaks above that level with strong volume, it is considered a breakout. This signals that a new trend may be beginning in the stock.

    Step 3: Taking a Trade Entry

    Once the breakout is confirmed, traders take a buy position in the same direction. The entry is usually placed slightly above the breakout level.

    Step 4: Placing a Stop Loss

    A stop loss is placed with the trade to control risk. It is usually placed below the recent support or breakout level.

    Step 5: Holding the Position with the Trend

    If the stock continues to trend, traders hold the position and use a trailing stop loss. This approach reflects the principle of turtle trading in which small losses are cut quickly and an attempt is made to profit from the larger trend.

    Advantages of the Turtle Trading Strategy

    • Rule-Based Trading System : Turtle trading is a completely rules-based strategy. It has clear rules for entry, exit, and risk management, reducing the likelihood of emotional trading decisions.
    • Opportunity to Catch a Larger Trend : The main objective of this strategy is to catch strong market trends, not small movements. When a stock or asset forms a large trend, traders can profit better.
    • Useful in Different Markets : Turtle trading is not limited to stocks. This strategy can also be applied to equity, commodity, futures, and forex markets because it is based on the trend-following principle.
    • Strong Risk Management : This system uses stop losses and position sizing with every trade. This helps limit losses and preserve capital over the long term.
    • Helps Develop Discipline : Turtle trading encourages traders to adopt a disciplined trading approach. When traders consistently follow set rules, their trading process becomes more systematic and stable.

    Read Also: What is Quantitative Trading?

    Limitations of Turtle Trading

    • Potential for frequent small losses : Turtle trading is a breakout-based strategy. Sometimes a stock breaks out, but a strong trend doesn’t form, and the price retraces. In such cases, the trader may experience frequent small losses.
    • Less Effective in Sideways Markets : When the market remains sideways or range-bound for a long period of time, the trend is unclear. Breakouts often fail in such an environment, which can reduce the effectiveness of this strategy.
    • Patience and Discipline Required : Success in turtle trading requires strict discipline and patience. If the trader doesn’t follow the rules or changes the strategy mid-trade, results can be affected.
    • Not every trade yields a profit : Many trades in this strategy may close with small losses. Profits are typically achieved when the market forms a strong, long-term trend, so consistent profits cannot be expected.
    • Proper Risk Management is Essential : If the trader doesn’t use position sizing and stop losses correctly, the strategy’s key benefits can be lost. Therefore, proper risk management is crucial in this system.

    Conclusion

    The Turtle Trading Strategy is a rules-based trading approach that emphasizes taking trades with the trend and controlling risk. Its basic idea is simple trade based on clear rules and try to capture the larger market trend. While this strategy may not produce the same results in every market condition, with discipline and proper risk management, it can help make trading more systematic.

    S.NO.Check Out These Interesting Posts You Might Enjoy!
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    2What is Intraday Trading?
    3What is Options Trading?
    4Breakout Trading: Definition, Pros, And Cons
    5What is Algo Trading?
    6What is Tick Trading? Meaning & How Does it Work?
    7What is Spread Trading?
    8MCX Trading: What is it? MCX Meaning, Features & More
    9What is Crude Oil Trading and How Does it Work?
    10Silver Futures Trading – Meaning, Benefits and Risks

    Frequently Asked Questions (FAQs)

    1. What is Turtle Trading?

      It’s a trading method in which traders enter positions when a stock shows a strong price breakout.

    2. Who created Turtle Trading?

      This trading system was developed by Richard Dennis in the 1980s.

    3. What is a Turtle Trader?

      A Turtle Trader is someone who trades by observing trends and breakouts based on set rules.

    4. Can Turtle Trading work in the Indian stock market?

      Yes, this method can be used in the Indian market as well if a stock is developing a clear trend.

    5. Is Turtle Trading easy for beginners?

      It’s easy for beginners to understand, but proper risk control and patience are essential.

  • What Is CFD Trading?

    What Is CFD Trading?

    Many people assume that to make money in the stock market, you must actually buy and own shares. That is the traditional way of investing. But in contemporary financial markets, traders often take a different approach; they simply trade price movements. One way to do this is through CFD trading.In this blog, we will learn what CFD trading is, how it works, its advantages and risks, and whether it makes sense for investors.

    CFD Trading – Meaning

    CFD stands for Contract for Difference. It is a financial agreement between a trader and a broker.Instead of buying the underlying asset, the trader agrees to exchange the difference in price between the opening and closing of the trade.

    Example 

    Assume that a stock is trading at 1000 per share. You think that the price will increase within the next few hours or days, so you buy a CFD for ₹1,000.

    If the price rises to ₹1,050. You will earn 50 per unit profit. Assuming that you sold 10 units, your overall profit would be = 50 x 10 = 500.

    Now, if the price drops to ₹950. Loss per unit will be 50, and since you have 10 units, you will lose 500. 

    Features of CFD Trading 

    1. Leverage

    One of the biggest features of CFD trading is leverage. Leverage allows you to control a larger trade using a smaller amount of money.

    For example

    Suppose a broker offers 10x leverage. This means with just ₹10,000, you can open a position worth ₹1,00,000. This can amplify your profits if the trade works in your favour. But it also means losses can grow quickly if the market falls

    2. Ability to Trade Both Directions

    Traditional investing focuses on buying assets and waiting for prices to rise. CFDs are different in this case because you can trade in both directions.

    • Going long means you expect the price to increase.
    • Going short means you expect the price to fall.

    For example, if you believe crude oil prices will fall due to global supply increases, you can open a short CFD trade and profit if the price declines.

    3. No Ownership of the Asset

    When you trade CFDs (Contracts for Difference), you do not own the actual underlying asset. For example, trading a gold CFD does not mean you own physical gold or any form of the metal. Instead, you are entering into a financial contract with a broker that allows you to speculate on the price movement of that asset.

    Your profit or loss depends on whether the asset’s price moves up or down relative to the price at which you opened the trade. This means traders can potentially profit from both rising and falling markets without owning the asset itself. CFDs are commonly used for trading assets such as commodities, stocks, indices, and currencies, often with the use of leverage, which can amplify both gains and losses.

    Read Also: What is Spot Trading and How Do You Profit?

    How CFD Trading Works? 

    Step 1 – Choose the Market

    First, the trader selects the asset they want to trade. This can be a stock, a commodity, an index, or a currency pair.

    Step 2 – Predict the Price Direction

    Next comes the trading decision. If the trader expects prices to rise, they open a buy position. If they expect prices to fall, they open a sell position.

    Step 3 – Decide Trade Size

    The trader decides how many units to trade. Since CFDs often involve leverage, the trader only needs to deposit a margin. 

    Step 4 – Monitor the Trade

    Once the trade is active, the trader monitors price movements by using technical indicators and stop loss orders. 

    SEBI does not permit CFD trading on the regulated Indian exchanges like NSE and BSE. Certain traders access CFDs using overseas brokers, but this is subject to regulatory and operational risks. 

    Advantages of CFD Trading 

    • Lower Capital Requirement: With leverage, traders can open larger positions without investing the full amount upfront. This makes it possible to participate in markets with relatively small capital. This allows traders with relatively limited capital to participate in larger market opportunities.
    • Opportunities in Falling Markets: Unlike traditional investing, CFDs allow traders to profit even when prices decline. Traders can take a short position, meaning they sell first and aim to buy back at a lower price For example, during a market crash, a trader might short an index CFD and benefit from the downward movement.
    • Access to Multiple Markets: CFD trading platforms usually offer access to a wide range of global financial markets in one account. Traders can trade different asset classes such as stocks, commodities, indices, and currencies. This flexibility allows them to diversify their trading strategies and explore opportunities across multiple markets.

    Risks of CFD Trading 

    • Leverage Can Amplify Losses: Leverage can be useful, yet it also carries real danger. Even a small move against your position may turn into a sizable loss. In severe situations, traders might wipe out their entire account balance – this happens most often when solid risk management and stop-loss rules aren’t in place.
    • High Market Volatility: Markets can shift without warning, often reacting to breaking news, economic releases, or geopolitical tension. Because of this, CFD traders need to expect sudden price jumps. Fast and unpredictable swings can affect open trades within seconds and quickly raise overall trading risk.
    • Emotional Trading: Many traders slip into habits like overtrading or trying to recover losses too quickly. That behavior can drain capital faster than expected. Decisions driven by emotion usually lead to weak trade management, poor discipline, and ignoring the strategies that were meant to guide the trade.

    Read Also: What Is Day Trading and How to Start With It?

    Conclusion 

    The traders can make profits through CFD trading without holding the underlying asset. It gives the flexibility, leverage, and access to various markets across the globe. Nevertheless, CFDs are also risky due to the same features that make them attractive.

    The leverage can amplify the losses, and the fast-moving markets can easily wipe out the trading capital when the risks are not managed appropriately. It is on this basis that CFD trading should be taken cautiously, through proper training, and with a disciplined approach.

    S.NO.Check Out These Interesting Posts You Might Enjoy!
    1What is Future Trading and How Does It Work?
    2What is Intraday Trading?
    3What is Options Trading?
    4Breakout Trading: Definition, Pros, And Cons
    5What is Algo Trading?
    6What is Tick Trading? Meaning & How Does it Work?
    7What is Spread Trading?
    8MCX Trading: What is it? MCX Meaning, Features & More
    9What is Crude Oil Trading and How Does it Work?
    10Silver Futures Trading – Meaning, Benefits and Risks

    Frequently Asked Questions (FAQs)

    1. When trading CFDs does an investor own the asset?

      No, when buying CFDs, an investor does not own the underlying.

    2. What does leverage mean in CFD trading?

      Leverage gives you an opportunity to make a bigger trade with a lesser amount of money. Assume that a broker provides 10x leverage. You could manage a trade worth 100,000 with a deposit of 10,000 only.

    3. Is CFD trading risky?

      Yes, CFD trading is said to be high risk due to leverage and market volatility.

    4. Is CFD trading beginner friendly?

      CFD trading is normally more applicable to experienced traders who are well informed of the market movements, leverage, and risk management.

    5. Is CFD trading legal in India?

      The Indian regulated exchanges do not permit CFD trading. Domestic brokers are not allowed to sell CFDs in India. 

  • Best Liquid Mutual Funds in India 2026

    Best Liquid Mutual Funds in India 2026

    There is a type of debt fund that invests your money in short-term instruments like treasury bills, commercial papers, and certificates of deposit. These securities usually mature within 91 days, making the interest rate risk low and helping the fund maintain a stable NAV (Net Asset Value). Because of this short maturity, liquid funds are designed to give you quick access to your money with limited volatility.

    SEBI rules limit these investments to a maximum maturity of 91 days and also keep a check on expense ratios, which tend to be quite low for liquid funds. Exit loads are either zero or very small for a few initial days, so most of your capital stays intact even if you need the money on short notice. The main objective remains to protect your capital while earning comparatively better returns than a savings account.

    In these funds the investment is done in high credit quality funds or generally funds that have AAA and A1+ rated securities to keep default risk low. In simpler terms, liquid mutual funds act like a smarter version of a savings account. Your Investment stays relatively safe, which can be accessed quickly while making you a decent amount of money in return. 

    Top 10 Liquid Mutual Funds in India 2026

    Fund Name AUM (Rs.Cr.)Expense RatioMin. Investment (Rs.)
    Axis Liquid Direct Growth48,4150.11%100
    HDFC Liquid Direct Growth72,5010.2%100
    Aditya Birla SL Liquid Direct60,2850.21%100
    Union Liquid Direct Growth8,0250.07%5,000
    Quant Liquid Direct Growth 1,3270.22%5,000
    ICICI Prudential Liquid Direct Growth 60,4740.2%99
    Nippon India Liquid Direct33,5000.2%1,000
    Kotak Liquid Direct Growth43,9740.2%1,000
    SBI Liquid Direct Growth66,5110.19%500
    UTI Liquid Direct Growth31,3330.15%500
    (Data as of 11 March 2026)

    Overview of Top 10 Liquid Mutual Funds in India 2026

    1. Axis Liquid Direct Growth

    It is a very large and popular scheme where investment is mainly done in AAA-rated T-bills, CDs, and CPs, with an average maturity of around 45 days. Low expenses and a strong track record make it a common choice for emergency funds and short-term parking.

    1 Year return3 Year return 5 Year return
    6.44%7.05%6.01%
    (Data as of 11 March 2026)

    2. HDFC Liquid Direct Growth

    This is one of the largest liquid funds by AUM, with most of its portfolio in high-quality bank certificates of deposit and treasury bills. Its scale and cautious investment style make it attractive for investors who prioritise stability and strong liquidity.

    1 Year return3 Year return 5 Year return
    6.39%6.99%5.95%
    (Data as of 11 March 2026)

    3. Aditya Birla Sun Life Liquid Direct

    This fund gives investors a mix of T-bills, CDs, and CPs, with solid and sizable returns. The fund has shown steady performance over three and five years, often slightly outpacing the category average. 

    1 Year return3 Year return 5 Year return
    6.44%7.07%6.03%
    (Data as of 11 March 2026)

    4. Union Liquid Direct Growth

    This is a mid-sized fund with funds allocated in PSU and government-backed papers, giving investors a comfort factor on credit quality. It works well for medium-ticket surplus amounts.

    1 Year return3 Year return 5 Year return
    6.40%7.04%6.01%
    (Data as of 11 March 2026)

    5. Quant Liquid Direct Growth

    This is a smaller but an active fund where there is a limited exposure to higher-yielding corporate CPs. In this fund returns are competitive, but it may suit investors who are comfortable with the active actions. 

    1 Year return3 Year return 5 Year return
    6.28%6.92%6.09%
    (Data as of 11 March 2026)

    6. ICICI Prudential Liquid Direct Growth

    This is one of the largest and most established liquid funds that allows instant redemption up to a certain amount. The fund emphasises more on T-bills to prevent higher risk, making it beneficial for managing short-term cash needs. 

    1 Year return3 Year return 5 Year return
    6.36%7.00%5.96%
    (Data as of 11 March 2026)

    7. Nippon India Liquid Direct

    If you are an investor that is looking for credit research and high-rated securities then this is the most suitable fund for you, as this fund results in a comparable stable portfolio. It’s preferred for new liquid investors who prefer a well-known brand. 

    1 Year return3 Year return 5 Year return
    6.41%7.03%6.00%
    (Data as of 11 March 2026)

    8. Kotak Liquid Direct Growth

    This fund holds a significant portion in bank CDs and other top-rated securities, aiming to balance safety with slightly better yields. It has managed past periods of market stress without major issues. 

    1 Year return3 Year return 5 Year return
    6.38%7.00%5.97%
    (Data as of 11 March 2026)

    9. SBI Liquid Direct Growth

    Backed by a PSU sponsor, this fund invests heavily in government securities and high-quality corporate debt. It also offers SIP, SWP, and STP options, which help investors who want to gradually shift money into other schemes.

    1 Year return3 Year return 5 Year return
    6.31%6.96%5.94%
    (Data as of 11 March 2026)

    10. UTI Liquid Direct Growth

    This is a veteran liquid fund where investments are done sensibly, as this fund emphasizes liquidity buffers like overnight repos. Here the focus is on steady, low-volatility returns instead of aggressively chasing higher yields.

    1 Year return3 Year return 5 Year return
    6.44%7.05%6.01%
    (Data as of 11 March 2026)

    Read Also: Best Money Market Mutual Funds in India

    Types of Instruments Liquid Funds Invest

    Liquid funds do not invest in infrastructure companies or equities; they build a diversified basket of short-term debt instruments published by governments, banks, and large companies. The main instruments are:

    • Treasury Bills (T-Bills): Short-term government securities that mature within 91 days. They carry almost zero default risk and offer investors a yield around 6.3 – 6.5%.
    • Commercial Papers (CPs): Companies issue short-term debt with strong balance sheets. These usually offer slightly higher returns than T-bills and are often rated A1+ for safety.
    • Certificates of Deposit (CDs): The banks and a few other financial institutions issue the time deposits. Maturities range from a few weeks to 90 days and are backed by the strength of the banking system.
    • Repo and Reverse Repo: Overnight lending and borrowing arrangements with other institutions. These instruments add day-to-day liquidity to the portfolio and help meet redemption requests smoothly.

    Generally, the best liquid mutual funds put 80% to 85% of their portfolio investments in financial sector debt like government securities, bank CDs, and high-quality corporate CPs. The remaining part usually goes into other AAA-rated instruments and overnight repos. This blend aims to deliver a balance of safety, liquidity, and reasonable yield.

    Advantages of Investing in Liquid Funds

    • High Liquidity: Investors can instantly withdraw their savings up to a limited amount and the process generally takes T+1 day. 
    • Better Returns: These funds give returns ranging from 6%-7% which is higher as compared to 3%-4% in savings accounts. 
    • Low Volatility: Investments in short-term maturities with high-rated instruments result in minimal daily NAV fluctuations. 
    • Useful for Emergency Funds: As investors can withdraw their savings instantly, these funds become very accessible. 

    Disadvantages of Investing in Liquid Funds

    • Lower Returns: These funds give lower returns as compared to equities and they are not designed for long-term wealth creation.
    • Credit and Interest Rate Risk: Although these are small, the risk associated is not exactly zero especially if a fund takes exposure to weaker issuers.
    • Taxed as Debt: As per the new rules the profit gained from these funds are taxed as per general income slab.

    Read Also: Best Thematic Mutual Funds in India

    Why Invest in Liquid Mutual Funds?

    These types of funds are a perfect mix of savings accounts and longer term debt options. These are best suitable for investors if they are looking for: 

    • Putting extra cash for a few weeks or months.
    • Building an emergency fund without locking your savings. 
    • Keeping funds ready for future opportunities

    In savings accounts people get a return of 3-4% but in top liquid schemes a return of 6.5% – 7% can be achieved, especially on large amounts. Unlike fixed deposits, you can take out the amount saved without any penalty and investors get daily returns instead of quarterly or annually.

    This possesses a substantial portion in bank CDs and other top-rated securities. The goal is to balance safety with yields. It successfully navigated past market stress without major issues

    Why Liquid Funds Matter in 2026

    Repo rate in India is around 6.5%, which means short-term debt instruments are also offering considerable returns in 2026. As a result, many of the best liquid funds are delivering about 6.5 – 7% annual returns, while most savings accounts are still in the 3 – 4% range. That difference becomes meaningful if you’re putting your money aside for a few months or more.

    Inflation is close to 5%, so leaving money in a low-yield savings account can slowly reduce your purchasing power. Liquid mutual funds help you keep pace with inflation better, without forcing you into high-risk assets like equities. There is no lock-in, and most funds allow redemption in T+1 working days; some even offer an “instant redemption” facility for a small limit.

    As an investor, this makes liquid funds a practical tool for emergency funds, parking bonuses, or keeping money aside for short-term goals. You have the option to track these funds in real time, compare returns and risks, and move between schemes easily using platforms like the Pocketful app, which also offers zero brokerage on delivery trades and a simple interface for both beginners and experienced investors.

    How to Choose the Best Liquid Fund in 2026

    Investors shall look for the following thighs before selecting a liquid fund:

    • Past Performance: Look at the fund’s past performance by judging its last 5 year returns cycle. 
    • AUM Size and Brand: Look for large and reputable fund houses in the market as they are reliable to invest your savings. 
    • Portfolio Quality: High share of T-bills, top-rated CDs, and CPs should be your preference, and those with too much in a single issuer should be avoided. 
    • Expense Ratio: Lower expense ratios of around 0.07% – 0.10% will give you more gross yield. So one shall prefer funds with low expense ratio. 

    Investors can easily compare all these factors on the Pocketful platform, where they  can check out returns, AUM, expenses, and basic portfolio details side by side and then invest.

    Read Also: Top 10 Mutual Fund Distributors in India

    Conclusion 

    Liquid Mutual Funds act as a smart and reliable substitute for cash. The best mutual liquid funds like Axis, HDFC and Aditya Birla can give returns up to 6.5%-7% along with outstanding liquidity. These funds considerably exceed the performance of conventional savings accounts. Reflect on your investment duration and risk appetite.

    These funds are best suitable for those looking to save for emergency savings, short-term investments or business operating capital. However these funds are not created for long term wealth creation but gives you purchasing power confidence as you have cash that is easily accessible. 

    For additional market updates and insights, download Pocketful, which offers users zero brokerage on delivery trades and an easy-to-use platform designed for both beginners and experienced investors. 

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    Frequently Asked Questions (FAQs)

    1. What is a liquid mutual fund?

      These are direct mutual funds where your savings are put in short-term financial instruments like T-bills, CDs, and CPs. Here the maturity is up to 91 days and these funds focus on giving high liquidity with minimal risk attached to it. 

    2. Best Liquid fund for beginners?

      Axis Liquid Direct Growth and HDFC Liquid Direct Growth are a prominent market choice as they have large AUM, low expenses, and consistent performance.

    3. Can I redeem my investment anytime?

      Yes, usually there is no lock-in for liquid mutual funds and most funds allow T+1 redemptions and offer instant redemption with a limited amount per day.  

    4. Are liquid funds safer than other debt funds?

      They generally carry lower interest rates and credit risk than longer-duration debt funds. This is because they hold very short-term, high-rated papers.

    5. Are liquid funds better compared to savings accounts?

      Liquid funds can be a more advantageous option as compared to savings accounts as they give higher returns. 

  • What are the Upper Circuit and Lower Circuit in the Stock Market? 

    What are the Upper Circuit and Lower Circuit in the Stock Market? 

    If you follow the stock market, you have probably heard phrases like “The stock hit the upper circuit today” or “It’s locked in the lower circuit.” For beginners, this might sound technical or confusing. But the concept is very simple.

    Upper circuits and lower circuits in the share market are limits placed on how much a stock’s price can move in a single trading day. These limits help control extreme price movements and prevent panic buying or selling. Similar to speed breakers on roads preventing accidents, circuit limits help keep markets stable. In today’s blog, let us understand in detail how these circuits work. 

    Upper Circuit – Meaning

    An upper circuit is the maximum price a stock can reach during a trading session. Once the stock touches this level, it cannot trade at a higher price for the rest of the day. Upper circuits usually occur when demand for a stock is very high, and fewer investors are willing to sell.

    Example 

    Suppose a stock closed yesterday at ₹100. If the exchange has set a 10% circuit limit, the price range for the next day’s upper circuit will be ₹110.

    If strong buying the next day pushes the price up to ₹110, the stock will reach its upper circuit of 10%.

    Lower Circuit – Meaning

    A lower circuit is the exact opposite of an upper circuit. It is the lowest price a stock can fall to in a single trading day. Once the stock reaches this level, it cannot fall further that day. Lower circuits usually happen when selling pressure becomes very strong, and buyers are less active.

    Example 

    Suppose a stock closed yesterday at ₹100, and the lower circuit limit is 10%. It implies that the lower circuit limit for the next day will be ₹90.

    Now imagine the company announces disappointing quarterly results. Investors start selling the stock quickly. As selling pressure increases, the price falls to ₹90, which is the lower circuit.

    Why Do Stock Markets Use Circuit Limits?

    Stock prices fluctuate a lot. Without limits, prices could spike or crash within minutes. This is why stock exchanges like NSE and BSE introduced circuit limits. Some major reasons are listed below. 

    1. To Prevent Extreme Price Swings

    Financial markets are driven not only by data, but also by emotions. When investors get overexcited or fearful, prices can move sharply.

    For example, imagine a rumour spreads online that a company is about to receive a big government contract. Traders rush to buy the stock before confirming the news. Within minutes, the price starts rising rapidly.

    Without circuit limits, that stock could move up in a very short time. Circuit limits slow down this movement. This gives the market time to absorb information more calmly.

    2. To Protect Retail Investors

    Not everyone in the market is a professional trader. If a stock were allowed to crash 40-50% in a single day, small investors could suffer huge losses before they even realise what is happening. Circuit limits reduce that risk by controlling how sharply a stock can fall in one trading session.

    For instance, if a stock has a 10% lower circuit limit, the price cannot drop more than 10% in a day.

    3. To Prevent Price Manipulation

    In some cases, large traders or groups may try to manipulate stock prices by creating artificial demand or supply.

    For example, if a few big investors aggressively push buy orders into a thinly traded stock, the price could skyrocket within minutes. Later, they might sell at higher prices while smaller investors rush in.

    Circuit limits help in making such manipulation more difficult because they cap the daily price movement.

    4. To Reduce Panic Buying and Panic Selling

    Markets often react strongly to sudden news. Consider situations like:

    • Unexpected earnings announcements
    • Government policy changes
    • Regulatory investigations
    • Global economic shocks

    When such news breaks, investors may rush to either buy or sell without fully understanding the implications. Circuit limits help slow the pace of trading during these emotional moments. 

    Common Circuit Limits in India on NSE

    According to the NSE, stocks in the equity market usually have one of the following daily price bands:

    • 2% price band
    • 5% price band
    • 10% price band
    • 20% price band

    These percentages show how much the stock price can move above or below the previous day’s closing price.

    Why Do Different Stocks Have Different Price Bands?

    Not all stocks behave the same way. Some stocks are very liquid and actively traded, while others have lower trading volumes.

    Because of this, exchanges assign different price bands depending on the type of stock.

    For example:

    • Less liquid or riskier stocks may have tighter limits like 2% or 5%.
    • More actively traded stocks may have wider limits, like 10% or 20%.

    These limits help control volatility and maintain market stability.

    Then, some stocks do not have any price bands. This usually applies to stocks that have derivative contracts (F&O) available on them, and scrips on which no derivative products are available but which are a part of the index derivatives, are also subjected to price bands. 

    Index-based Market-wide Circuit Breakers 

    This was implemented with effect from July 02, 2001. Apart from individual stocks, there are also circuit breakers for the entire market. These apply to major indices such as the Nifty and the Sensex.

    Market-wide circuit breaker system applies at 3 stages of the index movement, either upward or downward, at 10%, 15% and 20%. 

    When activated, these circuit breakers trigger a coordinated halt to trading in all of the country’s equity and equity derivative markets.

    Conclusion 

    Upper circuits and lower circuits are simple but important mechanisms that help keep the stock market stable. These circuit limits act like a cooling-off system for the market. Instead of allowing prices to move wildly within minutes, they slow things down and give investors time to understand what is happening around.

    Investors do not need to get carried away by circuit movements. A stock hitting upper circuits may look appealing, but it does not mean it is a good investment. Similarly, a stock stuck in a lower circuit does not always mean it is permanently weak. The best approach is to stay focused on fundamentals, long-term growth, and risk management, rather than reacting to daily price moves. For more market updates and insights, download the Pocketful app. Trade equities with zero brokerage and access advanced F&O trading features with zero AMC.

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    Frequently Asked Questions (FAQs)

    1. Why do stocks hit upper and lower circuits?

      Stocks usually hit upper circuits when there is strong buying or selling. 

    2. What are common circuit limits in India?

      Most stocks in India have daily price bands of 2%, 5%, 10%, or 20%, calculated based on the previous day’s closing price.

    3. Are circuit limits helpful for investors?

      Yes. They help reduce extreme volatility and prevent panic-driven trading, giving investors time to think before making decisions.

    4. Should you buy a stock that keeps hitting upper circuits?

      No, it is not necessary. Sometimes stocks hit upper circuits because of speculation. It is always better to analyse the company’s fundamentals before investing.

    5. Do all stocks have circuit limits?

      Most stocks do, but highly traded stocks in the Futures and Options (F&O) segment do not have daily price bands.

  • Best Stocks to Buy During War: Iran–US Tensions & Market Impact

    Best Stocks to Buy During War: Iran–US Tensions & Market Impact

    The geopolitical conditions are getting worse with every passing day. The escalation between the US, Israel, and Iran is negatively impacting the stock markets across the world. There are certain sectors and stocks that can perform well during such market conditions. 

    In today’s blog post, we will give you an overview of the best stocks to buy in a wartime situation between Iran and the US.

    Best Stocks to Buy in Wartime as Iran-US clash intensifies

    S. No.CompanyCurrent Market Price (INR)Market Capitalisation (in INR crore)52-Week High52-Week Low
    1.Hindustan Aeronautics Limited399026683551663354
    2.Bharat Electronics Limited457334313473252
    3.Paras Defence and Space Technologies Limited7195791972401
    4.Bharat Forge Limited1854886571936919
    5.Reliance Industries Limited1424192702416121115
    6.ONGC Limited271340674293205
    7.Vedanta Limited709277403770362
    8.Tata Steel Limited191238448216124
    9.Infosys Limited131553328417281264
    10.Sunpharma Limited180743365618511547
    (As of 9th March 2026)

    Defence and Aerospace: The government is increasing the defence budget to increase its weapons, military capabilities and to modernise them. These companies will benefit from increased defence procurement and strong government orders. The stocks which directly benefit from it are as follows:

    1. Hindustan Aeronautics Limited

    This is one of India’s largest aerospace and defence companies. The company is engaged in manufacturing fighter jets, helicopters, and aircraft components.

    1 Year Return (%)3 Years Return (%)5 Years Return (%)
    15.63178.73649.46
    (As of 9th March 2026)

    2. Bharat Electronics Limited

    The company manufactures various radar systems, missiles, and related electronics and communication systems for the military. The company is receiving a large defence order.

    1 Year Return (%)3 Years Return (%)5 Years Return (%)
    65.16379.11880.71
    (As of 9th March 2026)

    3. Paras Defence and Space Technologies Limited

    Paras Defence works in defence electronic equipment, optics, and space technologies. They supply specialised defence equipment.

    1 Year Return (%)3 Years Return (%)5 Years Return (%)
    49.07188.82194.24
    (As of 9th March 2026)

    4. Bharat Forge Limited

    This is a leading engineering company engaged in the manufacturing of artillery systems. The company is actively participating in advanced artillery and weapon systems.

    1 Year Return (%)3 Years Return (%)5 Years Return (%)
    70.52124.84186.77
    (As of 9th March 2026)

    Oil Sector: As the war is going on in the region which supplies crude and refined oil to the entire world. And this war-like situation can disrupt the supply chain, causing the oil prices to increase across the country.

    5. Reliance Industries Limited

    Energy companies such as Reliance Industries Limited will be the direct beneficiary of this crude oil price rise. It has the largest refining capacity with global energy operations.

    1 Year Return (%)3 Years Return (%)5 Years Return (%)
    14.0420.7130.07
    (As of 9th March 2026)

    6. Oil and Natural Gas Corporation Limited

    Oil and Natural Gas Corporation Limited is a company which is among India’s largest crude oil exploration companies. Due to higher prices, the profits of this company will increase.

    1 Year Return (%)3 Years Return (%)5 Years Return (%)
    22.8472.83131.11
    (As of 9th March 2026)

    Metal Sector: Due to a war-like situation, the industrial metals and raw materials can see increased demand during the global uncertainties. This can be beneficial for companies engaged in the metal and commodities sector.

    7. Vedanta Limited

    Vedanta is a global mining company and is engaged in producing zinc, aluminium, iron ore, and oil. As the company has strong exposure in the metal industry, it will benefit from the commodity price rise due to global uncertainties.

    1 Year Return (%)3 Years Return (%)5 Years Return (%)
    68.86148.44214.60
    (As of 9th March 2026)

    8. Tata Steel Limited

    The steel demand has increased, especially during the war situation, because of increasing economies due to infrastructure, manufacturing, and defence production. The company has global operations and will directly benefit from them.

    1 Year Return (%)3 Years Return (%)5 Years Return (%)
    31.4376.57170.38
    (As of 9th March 2026)

    IT Sector: Due to a weaker rupee because of geopolitical tension, the Indian IT companies will benefit from it. As the major revenue of these companies comes in dollars.

    9. Infosys Limited

    Infosys is one of the largest IT companies in India. The company’s major source of revenue comes from exports, as the company has a global client base. Weaker rupee and increasing global digital demand will help the company in increasing its revenue and profit.

    1 Year Return (%)3 Years Return (%)5 Years Return (%)
    (23.03)(11.24)(6.22)
    (As of 9th March 2026)

    Pharma Sector: The pharma and healthcare industry is considered a defensive sector; the demand for pharma products will be stable during the economic downturn and war situations.

    Sun Pharma Limited:

    In the Indian pharma sector, Sun Pharma Limited is a prominent player. The company has a global presence and is specialised in the manufacturing of speciality drugs. The company has a consistent revenue source and sells its products across the world. 

    1 Year Return (%)3 Years Return (%)5 Years Return (%)
    12.2889.84195.53
    (As of 9th March 2026)

    Read Also: Iran–Israel War Impact on Indian Stock Market

    Approach to Invest During a War-Time Situation

    Investment during wartime requires a strategic and balanced approach as the market will be highly volatile. Panic selling is not suggested for a long-term investor. However, instead of this, one should focus on diversifying their portfolio across different sectors and asset classes. Short-term speculation should be avoided and focus on strong fundamental companies which have lower debt levels, consistent earnings and profits.

    Conclusion

    On a concluding note, as the economic tension is rising between the US, Israel and Iran, the equity market is highly volatile. Traders are in panic, exiting their positions in order to avoid any loss due to volatility. However, on the other hand, long-term investors are looking for opportunities in this market and are opting for a balanced approach to investing. There are various sectors which will benefit from this war-like situation, such as energy, defence, metal, oil, pharma, etc. But it is advisable to consult your investment advisor before making any investment decision.

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    Frequently Asked Questions (FAQs)

    1. Why do defence stocks perform well during geopolitical tension?

      Defence stocks can be considered as a good investment option during the increasing geopolitical tension, as countries tend to increase their spending on military equipment to upgrade their defence system.

    2. Why are crude oil prices rising during a war-like situation?

      As the current conflict is rising in the region which produces the largest amount of crude oil. And due to the disruption in the supply chain, global oil prices are rising.

    3. Is it safe to invest in stocks during war?

      Yes, it is safe to invest in stocks during a war situation, but only for the long term, and investment can only be made in those companies which are fundamentally strong and have lower debts. There are certain sectors which can perform well during such a war situation.

    4. Which sectors can perform well during a war between Iran and the US?

      The sectors which can perform well during the war between Iran and the US are pharma, defence, oil and energy, metal and IT companies.

    5. Why does the stock market fall during the war?

      The stock market generally falls during war conditions because Investors become uncertain about the global economic conditions, supply chain disruption, inflation, and rising commodity prices, etc.

  • Top Capital Goods Stocks in India 2026

    Top Capital Goods Stocks in India 2026

    Capital goods stocks are crucial to India’s economy, as these companies manufacture machinery and engineering equipment for major sectors such as infrastructure, power, railways, and manufacturing. With the government’s capital expenditure projected to exceed ₹12 lakh crore in 2026, growth expectations in this sector have increased. Consequently, many investors are now focusing on capital goods stocks. In this article, we’ll explore some of the key capital goods stocks for 2026 and their key insights.

    What Are Capital Goods Stocks?

    Capital Goods Stocks are shares of companies that manufacture machines, equipment, and engineering systems used in the construction of other goods or infrastructure. Simply put, these companies produce the machinery needed to run the production process. Therefore, as industrial development and infrastructure projects increase in a country, the demand for companies in the Capital Goods sector also increases.

    Examples of Capital Goods

    Capital goods typically include equipment that is used in industries for a long time. Such as industrial machinery used in factories, heavy construction equipment for construction, turbines and boilers used in power plants, and transformers and other electrical equipment for power distribution. These machines enable industries to achieve large-scale production and infrastructure development.

    Top Capital Goods Stocks in India 2026

    S.NoCompanyCurrent Market Price (INR)Market Capitalisation (in INR crore)52-Week High52-Week Low
    1Larsen & Toubro Ltd3,9505,43,3394,4402,965
    2Adani Ports & Special Economic Zone Ltd1,4783,40,4101,5841,041
    3Hindustan Aeronautics Ltd4,0242,69,0955,1663,354
    4Adani Enterprises Ltd2,0402,35,4412,6131,848
    5Eicher Motors Ltd7,6202,09,0418,2334,891
    6Interglobe Aviation Ltd4,4041,70,2686,2324,293
    7Cummins India Ltd4,8011,33,0754,9872,580
    8Polycab India Ltd8,5521,28,7508,7244,567
    9Siemens Ltd3,2691,16,4123,4412,450
    10CG Power & Industrial Solutions Ltd7151,12,677798518
    (Data as of 08 Mar 2026)

    Read Also: Best Edible Oil Stocks in India

    A brief overview of the best Capital Goods Stocks in India is given below :

    1. Larsen & Toubro Ltd

    Larsen & Toubro Ltd (L&T) is a well-known engineering and construction company in India. Founded in 1938 by engineers Henning Holck-Larsen and Søren Toubro, the company is headquartered in Mumbai. L&T is involved in the construction of major infrastructure projects, including metros, highways, power plants, and industrial plants. It also handles heavy engineering and technology projects and has been involved in numerous projects in India and abroad.

    Know the Returns: 

    1Y Return (%)3Y Return (%)5Y Return (%)
    18.73%83.03%149.21%
    (Data as of 08 Mar 2026)

    2. Adani Ports & Special Economic Zone Ltd

    Adani Ports & Special Economic Zone Ltd was incorporated in 1998 and is headquartered in Ahmedabad, Gujarat. It is one of the largest private sector port operating companies in India. Adani Ports develops and operates several seaports in the country, handling various cargoes, including containers, coal, and other goods. Apart from this, the company also provides port-related logistics and supply chain services, which helps in smooth running of business activities.

    Know the Returns: 

    1Y Return (%)3Y Return (%)5Y Return (%)
    25.09%111.74%96.35%
    (Data as of 08 Mar 2026)

    3. Hindustan Aeronautics Ltd

    Hindustan Aeronautics Ltd (HAL) is a leading Indian aerospace and defense company. It was founded in 1940 in Bengaluru and remains headquartered there today. HAL primarily engages in the design, manufacture, and maintenance of aircraft, helicopters, and critical systems. HAL produces numerous aircraft and helicopters for the Indian Air Force and other defense forces. The company is also actively involved in research and development related to aerospace technology.

    Know the Returns: 

    1Y Return (%)3Y Return (%)5Y Return (%)
    16.36%182.36%649.49%
    (Data as of 08 Mar 2026)

    4. Adani Enterprises Ltd

    Adani Enterprises Ltd was founded in 1988 by Gautam Adani and is headquartered in Ahmedabad, Gujarat. It is considered the flagship company of the Adani Group and has played a key role in the development of several new businesses. Over time, the company has expanded into various sectors, including airport operations, data centers, mining services, and infrastructure projects. Adani Enterprises is known for frequently launching and expanding businesses in new sectors.

    Know the Returns: 

    1Y Return (%)3Y Return (%)5Y Return (%)
    -8.61%10.97%127.76%
    (Data as of 08 Mar 2026)

    5. Eicher Motors Ltd

    Eicher Motors Ltd was founded in 1948 and is headquartered in New Delhi. The company operates in the automobile sector and is known for its two core businesses: the Royal Enfield motorcycle brand, which is popular in India and several international markets. The second is the manufacturing of trucks and buses through Volvo Eicher Commercial Vehicles. The company’s primary business is the design, manufacture, and sale of motorcycles and commercial vehicles.

    Know the Returns: 

    1Y Return (%)3Y Return (%)5Y Return (%)
    46.98%144.55%178.10%
    (Data as of 08 Mar 2026)

    6. InterGlobe Aviation Ltd

    InterGlobe Aviation Ltd operates IndiGo, one of India’s largest airlines. The company was founded in 2006 and is headquartered in Gurugram, Haryana. IndiGo operates passenger flight services on both domestic and international routes within India. The company’s primary business is providing air transport services, transporting passengers and cargo, and managing aircraft operations.

    Know the Returns: 

    1Y Return (%)3Y Return (%)5Y Return (%)
    -11.97%133.05%144.81%
    (Data as of 08 Mar 2026)

    7. Cummins India Ltd

    Cummins India Ltd was founded in 1962 and is headquartered in Pune, Maharashtra. The company is part of the global Cummins Group. Cummins India primarily manufactures and develops diesel and gas engine products. It also provides power generation equipment, industrial engines, and related services. Its engines and power systems are used in many industrial and infrastructure sectors in India.

    Know the Returns: 

    1Y Return (%)3Y Return (%)5Y Return (%)
    63.13%189.72%428.65%
    (Data as of 08 Mar 2026)

    8. Polycab India Ltd

    Polycab India Ltd was founded in 1996 and is headquartered in Mumbai. The company is primarily known for manufacturing wires and cables. Polycab also manufactures a variety of electrical products such as switches, LED lights, fans, and other electrical equipment. The company’s products are used for domestic, commercial, and industrial purposes. In addition to India, Polycab also exports its products to several other countries.

    Know the Returns: 

    1Y Return (%)3Y Return (%)5Y Return (%)
    66.62%72.28%505.47%
    (Data as of 08 Mar 2026)

    9. Siemens Ltd

    Siemens Ltd is the Indian subsidiary of Germany’s Siemens AG. The company was founded in India in 1922 and is headquartered in Mumbai. Siemens operates in various technological and industrial sectors, including automation, smart infrastructure, mobility, and energy solutions. The company provides technological solutions and equipment for industries, cities, and transportation systems.

    Know the Returns: 

    1Y Return (%)3Y Return (%)5Y Return (%)
    22.12%72.28%216.54%
    (Data as of 08 Mar 2026)

    10. CG Power & Industrial Solutions Ltd

    CG Power & Industrial Solutions Ltd was founded in 1937 and is headquartered in Mumbai. The company primarily specializes in electrical equipment and industrial systems. CG Power manufactures transformers, motors, and other electrical equipment used in power generation, transmission, and industrial machinery. The company provides its products and solutions in India and several international markets.

    Know the Returns: 

    1Y Return (%)3Y Return (%)5Y Return (%)
    15.40%140.61%1,018.02%
    (Data as of 08 Mar 2026)

    Read Also: Best Gas Distribution Stocks in India

    Key Performance Indicators (KPIs)

    The key performance metrics of Capital Goods Stocks in India are mentioned below:

    CompanyOperating Margin (%)Net Profit Margin (%)ROE (%)ROCE (%)Debt to Equity
    Larsen & Toubro Ltd10.336.9115.3914.891.33
    Adani Ports & Special Economic Zone Ltd51.3235.1317.8113.940.73
    Hindustan Aeronautics Ltd34.9526.8623.9117.410.00
    Adani Enterprises Ltd12.787.6514.888.291.60
    Eicher Motors Ltd28.0221.3822.2323.080.01
    Interglobe Aviation Ltd15.688.9877.4715.520.19
    Cummins India Ltd22.5316.6826.4429.600.00
    Polycab India Ltd12.809.1220.5527.960.01
    Siemens Ltd13.2212.1215.9016.450.00
    CG Power & Industrial Solutions Ltd13.679.8125.3532.050.00
    (Data as of 08 Mar 2026)

    Why Capital Goods Stocks Are Growing in India

    • Infrastructure Development : Infrastructure spending in India has steadily increased over the past few years. The government is working on major projects such as roads, railway lines, metro networks, and airports. These projects require heavy machinery, engineering services, and electrical equipment to complete them. This is driving a surge in new projects and orders for capital goods companies.
    • Manufacturing Expansion : Special attention is being paid to strengthening the manufacturing sector in India. The opening of new factories and industrial units increases the demand for machinery and industrial equipment. This continuously provides new business opportunities for capital goods companies and accelerates the sector’s growth.
    • Renewable Energy Projects : India is rapidly moving towards clean energy. With the expansion of solar and wind projects, the need for power transmission and electrical infrastructure is also increasing. Many of the equipment used in these projects are manufactured by capital goods companies, thus directly benefiting this sector.
    • Government Policy Support : Several government schemes have been designed to promote industry and infrastructure. Initiatives like the PLI scheme and the National Infrastructure Pipeline aim to increase investment in manufacturing and large projects. This also maintains strong demand for engineering and machinery manufacturing companies.
    • Strong Order Books for Engineering Companies : Many large engineering companies already have orders for projects spanning several years. When a company has a strong order book, it indicates that it will not face any shortage of work in the future. This is why investors pay close attention to such capital goods stocks.

    Read Also: Best Rubber Stocks in India

    Key Factors to Consider Before Investing in Capital Goods Stocks

    • Order Book Strength : A strong order book is crucial for any capital goods company. If a company has orders for large projects in the coming years, it can help predict future earnings. A strong order book also indicates that the company is receiving consistent market demand.
    • Return on Capital Employed (ROCE) : ROCE indicates how effectively a company is utilizing its invested capital. A good ROCE indicates that it is generating better returns from its business.
    • Debt Levels : Capital goods companies’ projects are large and capital-intensive, so some debt is normal. However, excessive debt can put a strain on a company’s profitability and financial stability, so debt levels should be carefully monitored before investing.
    • Project Execution Capability : Many projects in this sector are large and complex. Companies that can complete projects on time and within budget have better credibility and profitability.
    • Sector Exposure : Companies that operate in multiple sectors, such as power, infrastructure, railways, or defense, are considered stronger. Having a presence in different sectors increases a company’s chances of consistently receiving new projects.

    Risks of Investing in Capital Goods Stocks

    • Economic Slowdown : The Capital Goods sector relies directly on capital expenditure (Capex). If the economy slows down or companies reduce investment in new projects, both orders and earnings for companies in this sector could be affected.
    • Raw Material Price Fluctuations : This sector uses a significant amount of raw materials, such as steel, copper, and aluminum. Sharp price fluctuations can increase companies’ costs, putting pressure on profits.
    • Project Delays : Capital Goods companies often work on large infrastructure and industrial projects. Delays related to land, permits, or funding can prevent projects from being completed on time, impacting company earnings.
    • Policy Changes : Changes in government policies or regulations can impact the infrastructure and manufacturing sectors. If government support for a project or sector is reduced, new orders for Capital Goods companies may also decline.

    Read Also: Best Cybersecurity Stocks in India

    Conclusion

    Simply put, capital goods companies play a crucial role in a country’s infrastructure and industrial development. With the growth of road, railway, energy, and manufacturing projects in India, this sector’s importance is increasing. Therefore, many investors view these companies with a long-term perspective. However, before investing in any stock, it’s always important to understand the company’s performance and the state of the sector.

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    Frequently Asked Questions (FAQs)

    1. What are Capital Goods Stocks?

      These are shares of companies that manufacture machinery and industrial equipment used in factories and infrastructure projects.

    2. Why are Capital Goods Stocks important?

      Because these companies provide other industries with machinery and technical equipment needed for production.

    3. Which industries use capital goods the most?

      They are mainly used in infrastructure, manufacturing, power, railways, and defense sectors.

    4. Can beginners invest in Capital Goods Stocks?

      Yes, but it’s important to understand the company’s performance and the sector’s situation before investing.

    5. What affects Capital Goods Stocks the most?

      Government infrastructure spending, new projects, and industrial investment affect these stocks the most.

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