Sensex extended losses falling over 700 points at day’s low and taking its two-day loss to over 1,100 points. Indian markets fell sharply today, disappointed by some Budget proposals in the Union Budget. Weak global markets also hurt sentiment.
Most of the sectoral indices on the NSE were in the red and auto, banking and metal stocks were among the top losers. Over ₹5 lakh crore of equity investor wealth got wiped out in last two sessions. On Friday, both the Sensex and Nifty fell nearly 1% after Finance Minister Nirmala Sitharaman presented the Budget.
Nirmala Sitharaman, in the Budget proposed increasing the minimum public shareholding in listed companies to 35% from 25%, threatening a wave of new issuance.
She said the government has asked the Securities and Exchange Board of India to consider the proposal, but did not give many other details.
Notably, as Indian stock markets tumble, a gold rally has been silently underway.