Markets ended on a mixed note on the Budget day. Sensex rose 158 points, Nifty lost 46 points

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Equity benchmarks Sensex and Nifty ended on a mixed note on Wednesday as euphoria over the Union Budget died down, with investors looking to take profits ahead of the Fed’s interest rate decision.

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The 30-share BSE benchmark Sensex climbed 158.18 points, or 0.27%, to 59,708.08 after paring most of its intraday gains. During the day, it had gained 1,223.54 points or 2% to 60,773.44.

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In contrast, the broader NSE Nifty ended down 45.85 points or 0.26% at 17,616.30.

“A well-crafted budget with a strong emphasis on consumption and capex has boosted optimism in the market; however, volatility began in the latter half as the focus shifted back. The Adani story and the FOMC meeting.

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Vinod Nair, head of research, Geojit Financial Services, said, “Life insurance players witnessed heavy selling as the Budget pushed through a new tax regime, making insurance products less attractive as a tax saving tool. went”.

HDFC Securities MD and CEO Dheeraj Riley said the stock markets have responded well to the provisions immediately due to the absence of any major unexpected adverse effects and absence of fiscal prudence.

Markets will now wait for other triggers – US Fed meeting outcome, RBI’s next MPC meeting and balance Q3 corporate results, he added.

“In short, I would describe this budget as smart, progressive and pragmatic,” noted Mr Riley.

Out of the Sensex pack, ITC, Tata Steel, ICICI Bank, Tata Consultancy Services, HDFC, HDFC Bank and Kotak Mahindra Bank were big gainers.

On the other hand, Bajaj Finsar, State Bank of India, IndusInd Bank and Mahindra & Mahindra were significantly behind.

“Overall, the Budget is excellent. The absence of negative news is a great source of optimism. And the stock market has been bullish about the Budget,” said Sunil Damania, Chief Investment Officer, MarketsMojo.

Finance Minister Nirmala Sitharaman tweeted the syllabus on Wednesday. To provide some relief to the middle class by announcing that no tax will be levied on annual income up to Rs 7 lakh under the new tax regime.

It also allowed taxpayers a standard deduction of ₹ 50,000 under the new regime, where assessees cannot claim deductions or exemptions on their investments.

“Government’s provision of rebate of up to Rs 7 lakh on personal income tax and changes in slab rates under the new income tax regime is a big boost for Indian markets. Markets cheered,” Sanjay Moorjani, Research analyst, Simco Securities said.

Meanwhile, the overall positive trend in global markets also cheered investors.

Elsewhere in Asia, equity markets in Seoul, Tokyo, Shanghai and Hong Kong ended in positive territory.

Equities in Europe were trading in the green during mid-session deals. Markets in the US ended higher on Tuesday.

“India Budget 2023 presents a multi-pronged approach. The 3 Cs that stand out – increase in capex, increase in consumption, status of capital gains tax. Estimated at 5.9% and to see a progressive reduction till FY 2026. Expected.

“Clearly a bull’s eye budget satisfies most sections of the society and certainly a thumbs up from the market,” said Lakshmi Iyer, CEO-Investment Advisory, Kotak Investment Advisors Ltd.

Ms Seetha Raman on Wednesday announced a 33% increase in capital expenditure for infrastructure development to ₹10 lakh crore for 2023-24, which would be 3.3% of GDP.

“A 33% increase in capital expenditure to ₹10 lakh crore, the highest ever, will go a long way in building roads, ports and airports – making India a credible investment destination. Very important. There is an investment of ₹2.4 lakh crore in railways. Appreciable,” said Anand Rathi, founder and chairman, Anand Rathi Group.

Ms. Sita Raman on Wednesday Seven priorities of the Union Budget 2023-24 were listed.including infrastructure, green growth, financial sector and youth power.

He said that four transformative opportunities can be used in the amrit call for economic empowerment.

“In keeping with its focus on inclusive growth, the Union Budget has increased spending on infrastructure and agriculture which we believe will have a multiplier effect on the economy,” said S Ranganathan, Head of Research, LKP Securities. said

International oil benchmark Brent crude was down 0.05 percent at $85.42 a barrel.

Foreign institutional investors (FIIs) offloaded shares worth a net ₹ 5,439.64 crore on Tuesday, according to exchange data.

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