The Best Stocks To Buy This Year

Back in the 1950s, American investors used to say, “What’s good for General Motors (GM) is good for America”. GM was by far, the world’s largest car manufacturer. Hence, there was a sound logic backing that statement. The auto industry has a long value-chain, from mining to manufacturing, to downstream services. Cars contain metals, rubber, leather, plastics, glass and composites. They have thousands of components as varied as forged metal plates, electronic chips and sensors. Car sales create revenue and employment downstream, in financial services, advertising and marketing, and in repair, maintenance and fuelling services. In the here and now, car sales in India have been weak through the past few months. Indeed, car sales have been so weak that Maruti Suzuki, India’s largest passenger car-maker, is cutting down on production by 25 per cent. It’s...