Health of the industrial economic growth is based on Order books. Indian executives are most optimistic about their economy according to a recent Mckinsey study when compared to other countries including China and other major economies. A huge order book is seen for real estate, engineering, construction and capital goods manufacturers. Its a no brainer on which companies to look for investment purposes.

Business Standard reports

In the first 10 months of CY07, Indian firms received orders worth Rs 128,147 crore.

Contrary to hints of an economic slowdown, India Inc’s order books are overflowing.

Leading the charge are 79 real estate developers and engineering, construction and capital goods manufacturers that accounted for over 94 per cent of total orders received.

In the first 10 months of calendar year 2007, Indian companies received orders worth Rs 128,147 crore. This is 68.6 per cent more than Rs 75,984 crore in the same period a year ago.

Orders have been pouring in from Indian and foreign companies, the central and state governments and local bodies for construction of roads, power plants, refineries, turnkey projects, electronic goods and water and irrigation works.

Market at BSE 20,000, Indian’s play their 20x and is world champs of 20xTwenty.

At such a historic milestone, we need not dream where it eventually end.
It would be easy to enlist 20x to remain bullish.

1. x GDP growth of 8 per cent plus for the next 5 years i.e. 8×5 = 20xTwos.
2. x The RBI from behind the wicket is managing the economic growth and reduces the impact of blowouts.
3. x No reason to believe why our economic growth story will be wide off the pitch.
4. x Very aggressive and super fast delivery from all India Inc which would continue upward 20 basis point. Earnings resulting compounded growth through the next 5years.
5. x Brilliant innings from some of the talented entrepreneurs are delight to watch and there would be definitely be an action replay.
6. x Six off Six Sessions, easy capital availability, Indian companies embarking on large capex expansion to ensure future growth
7. x Emerging new sectors like real estate and retail, expanding overall market cap and investment options.
8. x Politics ceases to be a major threat, all central political “Dhoni” think tank more or less alike on economic roadmap. Emergency declared to reach the mount Everest.
9. x Interest rates at their plateau, with dollar investments pouring in.
10. x Global emerging markets ready to take Indian products and services. Read the rest of this entry »