India's stock markets fell heavily on Friday with Sensex crashing nearly 600 points, Nifty slipping below 10,850-level as a sharp slump in HDFC twins steered market into losses while bankers and real estate stocks tumbled the most as Arun Jaitley introduced LTCG at 10% and raised the fiscal deficit target for the financial 2018-2019 at 3.3%.
India’s stock markets crashed in the morning trades after opening lower on Friday following the impact of Budget 2018 as Arun Jaitley introduced LTCG at 10% and raised the fiscal deficit target for the financial 2018-2019 at 3.3%. BSE Sensex lost as much as 591.69 points to hit a day’s low of 35,314.97 whereas NSE Nifty tumbled 190.4 points to hit a day’s low of 10,826.5. Finance Minister Arun Jaitley presented the last full-year Budget of NDA government before 2019 General Elections. India Budget 2017-2018 was also in focus as it was the first budget after the nation-wide constitutional reform GST (Goods and Services Tax) implemented in July 2017. Shares of blue-chip companies such as HDFC, HDFC Bank, ICICI Bank, Reliance Industries, L&T, Kotak Mahindra Bank, Maruti Suzuki, IndusInd Bank, Axis Bank, SBI and ONGC contributed heavily to the Sensex declines.
Shares of IndusInd Bank, Kotak Mahindra Bank, HDFC, ONGC, Adani Ports, Yes Bank, Axis Bank, Asian Paints, Maruti Suzuki, L&T, Tata Steel, SBI, Wipro, HDFC Bank, ICICI Bank, Power Grid, M&M and NTPC, Reliance Industries, and Coal India shed 1-3%. The stocks of ITC, TCS, Sun Pharma, and Infosys emerged as the only notable gainers among the Sensex index.
A bloodbath was seen across the indices including the broader market and sectoral indices. The broader market indices other than Nifty 50 such as Nifty Next 50, Nifty Midcap 50, Nifty 100, Nifty 200, Nifty 500, Nifty Mid100 Free, Nifty Sml100 Free were down up to 4% whereas the sectoral indices of NSE eight out of eleven indices fell heavily in today’s trade with Nifty Realty, Nifty Bank, Nifty Media, Nifty Metal, Nifty Pvt Bank, Nifty PSU Bank, Nifty Fin Service leading the losses while Nifty FMCG, Nifty IT, and Nifty Pharma traded in green.
Shares of Bajaj Auto, Hindalco Industries, Bajaj Holdings & Investment, BSE, IEX will be in a close watch ahead of their respective Q3 earnings. Other major companies which are also lined up with third-quarter results are Bayer CropScience, GlaxoSmithKline Pharmaceuticals, Godrej Properties, Gujarat Gas, Info Edge, Inox Wind, MRPL and Whirlpool.
Earlier yesterday, Indian stock markets finished marginally lower on the Budget 2018 day in a heavy volatile trading activity with stocks of pharma and PSU bank dropping the most. The benchmark Sensex extended yesterday’s losses to close slightly lower and Nifty index also saw a little decline but managed to end above 11,000-mark. BSE Sensex lost 58.36 points or 0.16% to conclude at 35,906.66 and NSE Nifty shed 10.8 points or 0.1% to settle at 11,016.9. During the day, the S&P BSE Sensex plunged 463.28 points to hit an 8-day low of 35,501.74 while Nifty washed away 148.9 points to hit an 8-day low at 10,878.8.
Meanwhile, Wall Street stocks gave up early gains on Thursday as bond yields rose and technology stocks retreated ahead of a host of high-profile earnings, Reuters said in a report. The Dow Jones Industrial Average rose 37.32 points or 0.14% to 26,186.71, the S&P 500 lost 1.83 points or 0.06% to 2,821.98 and the Nasdaq Composite dropped 25.62 points or 0.35% to 7,385.86.