A Five-Year Retrospective on Stock Market Responses to India's Union Budgets
The Union Budget is a key annual event in India, often leading to significant movements in the stock market. This analysis examines the reactions of the Sensex and Nifty indices to the last five Union Budgets, highlighting notable sectoral performances and investor sentiment. Understanding these trends is crucial for investors aiming to navigate the complexities of the stock market effectively. Union Budget 2023-24 Date: February 1, 2023 The announcement of the 2023 Union Budget saw the Sensex rise by 158 points, closing at 59,708 after hitting a session high. Initially, the market rallied strongly, with the Sensex peaking at a 1,223-point rise. However, as the trading day progressed, some gains were pared back. The Nifty, in contrast, fell by 46 points to 17,616. The mixed response can be attributed to various sectoral performances and investor expectations. Sector Performance: Defence stocks experienced notable declines despite a 13% increase in budget allocation. Companies su...