New Delhi. The stock market has seen a massive decline after the announcement of Budget 2024, with the Sensex falling 1.5% and the Nifty falling 1%. Experts suggest that the market may see further decline. Shares of the country’s largest company Reliance Industries saw a decline of more than 2%. Apart from this, SBI shares fell by about 2% and L&T shares fell by more than 4%.
Big fall in Sensex and Nifty
Both the major indices, Sensex and Nifty, witnessed a massive fall after the budget announcement. The benchmark index Sensex of the Bombay Stock Exchange fell nearly 1200 points to settle at 79,224.32 points. The Sensex had opened at 80,724.30 points. Similarly, the Nifty also witnessed a fall of nearly 1% and was trading at 24,276.60 points after falling 232.65 points. The Nifty had opened at 24,568.90 points.
Decline in major stocks
On the Bombay Stock Exchange, shares of Reliance Industries fell nearly 2%, bringing the share price to ₹2,927.10. Shares of L&T fell over 5%. ONGC and Shriram Finance fell over 3%, while shares of Hindalco and Bajaj Finance fell over 2.5%.
huge losses to investors
Due to this fall in the market, investors have lost about ₹ 10 lakh crore in a few hours. The profit and loss of investors is linked to the BSE market capitalization. A day earlier, the BSE market capitalization was ₹ 4,48,32,227.50 crore, which came down to ₹ 4,38,36,540.32 crore during the trading session. This shows that investors have lost about Rs 10 lakh crore. Currently, the market cap of BSE is Rs 4,43,28,902.63 crore.
The national budget announcement has a significant impact on the stock market, as it outlines the government’s financial plans and policies for the upcoming fiscal year. If the budget introduces favorable policies, such as tax cuts, increased government spending on infrastructure, or incentives for key industries, this can increase investor confidence. This often leads to a surge in stock prices as investors expect higher corporate earnings and economic growth. Conversely, if the budget contains measures considered unfavorable, such as higher taxes, lower spending, or policies that may impede business growth, investor confidence may be reduced. This can cause stock prices to decline.
