After the Union Budget announcement, Indian equity markets saw a slight decline in mid-day trading on Thursday. The BSE Sensex was down 182.98 points or 0.24 percent at 77,317.59, while the Nifty50 dropped 66.10 points or 0.28 percent to 23,442.30 as of 12:30 PM.
Auto and FMCG stocks were the top performers, with Maruti Suzuki leading the gainers by surging 6.05 percent. Trent and ITC followed closely, with gains of 5.82 percent and 3.75 percent respectively. Britannia Industries and Eicher Motors also showed strong performance, rising 3.42 percent and 2.90 percent.
On the other hand, infrastructure and energy stocks faced selling pressure. Larsen & Toubro and Bharat Electronics Limited both declined 3.59 percent. Coal India, ONGC, and Power Grid Corporation also saw declines ranging from 2.15 percent to 2.65 percent.
“The Union Budget 2025 has introduced several tax reforms and sector-specific initiatives that are likely to shape market sentiment and economic growth. The decision to forgo ₹1 lakh crore in direct taxes and offer full tax exemption up to ₹12 lakh income under the new regime is expected to boost consumer spending, benefiting sectors such as FMCG, automobiles, and retail,” said Anirudh Garg, Partner and Fund Manager at Invasset PMS.
The broader market showed mixed trends, with the NIFTY NEXT 50 marginally up by 0.04 percent at 63,150.35, while the NIFTY MIDCAP SELECT declined 0.73 percent to 11,843.90. Banking stocks remained under pressure as the NIFTY BANK index dropped 0.49 percent to 49,342.50, and the NIFTY FINANCIAL SERVICES index fell 0.69 percent to 23,060.60.
Market breadth remained positive with 2,034 stocks advancing compared to 1,676 declines on the BSE. The session saw 44 stocks hitting their 52-week highs, while 51 touched their 52-week lows. Circuit filters were triggered for 388 stocks.
“India’s growth will come from its people. From skilling hubs and research fellowships to education in Artificial Intelligence and MSME support, the government is investing where it matters,” said Dr. Suresh Ramanathan, Dean at Great Lakes Institute of Management, Chennai.
The markets continue to digest various budget initiatives, including the enhanced Kisan Credit Card scheme, nuclear energy expansion plans, and the establishment of Atal Tinkering Laboratories, as trading continues in the afternoon session. “The increased capital expenditure signals a continued push for infrastructure development, benefitting companies in construction, cement, and steel sectors,” added Garg.
