“Stock Market Recap: Key Highlights and Trends Post Union Budget 2024”

Stock Market Report: Key Insights and Highlights

Market Movement Overview

The stock markets experienced a mixed bag of activities throughout the day. Until around noon, the markets were mostly flat. However, during the budget speech delivered by Finance Minister Nirmala Sitharaman, there was significant volatility, with heavy selling observed until 12:30 PM. Following this, the markets rebounded and ended the day nearly flat.

Sector Performance

Different sectors showed varying trends:

  • FMCG Stocks: This sector saw the most significant gains, contributing positively to the market’s overall performance.
  • Realty Stocks: On the contrary, realty stocks experienced the steepest decline.

On the global front:

  • US Markets: The US markets showed positive performance.
  • European and Asian Markets: These markets displayed mixed trends, indicating varied investor sentiments across different regions.

Top Gainers on NIFTY 50

Several stocks stood out as top gainers:

  • Titan: Closed at Rs 3,466.85, up by 6.53%.
  • ITC: Closed at Rs 492.20, up by 5.50%.
  • Tata Consumer: Closed at Rs 1,256.90, up by 4.32%.
  • Adani Ports: Closed at Rs 1,507.35, up by 2.73%.
  • NTPC: Closed at Rs 382.45, up by 2.40%.

Top Losers on NIFTY 50

Conversely, some stocks were top losers:

  • Shriram Finance: Closed at Rs 2,739.20, down by 3.12%.
  • L&T: Closed at Rs 3,538.05, down by 3.11%.
  • Hindalco: Closed at Rs 653.50, down by 2.80%.
  • Bajaj Finance: Closed at Rs 6,727.10, down by 2.28%.
  • ONGC: Closed at Rs 314.15, down by 2.07%.

Union Budget 2024 Highlights

The Union Budget 2024, announced by FM Nirmala Sitharaman, introduced several key changes:

Changes in Capital Gains Tax

  • STCG on Financial Assets: Increased from 15% to 20%.
  • LTCG on Financial and Non-Financial Assets: Increased from 10% to 12.5%.
  • Exemption on LTCG Gains: Increased from Rs 1 lakh to Rs 1.25 lakh.

Increase in Securities Transaction Tax (STT)

  • Futures: Increased from 0.0125% to 0.02%.
  • Options: Increased from 0.0625% to 0.10%.

Buyback of Shares

  • Tax Treatment: Gains from buyback of shares are now taxable like dividends, as per the applicable tax slab. The cost of such shares will be treated as a capital loss to the investor.

Revised Tax Regime

A new structure for the income tax regime was introduced with the following slabs:

  • Rs 0 to Rs 3 lakh: 0%
  • Rs 3 to Rs 7 lakh: 5%
  • Rs 7 to Rs 10 lakh: 10%
  • Rs 10 to Rs 12 lakh: 15%
  • Rs 12 to Rs 15 lakh: 20%
  • Above Rs 15 lakh: 30%

Stocks Updates

Several companies reported notable updates:

  • Bajaj Finance: Net profit rose 14.03% year-on-year to Rs 3,955.28 crore in the April-June quarter.
  • Zydus Lifesciences: Received US FDA approval for its hypertension treatment tablets ‘Valsartan’.
  • HUL: Net profit increased by 2.19% year-on-year to Rs 2,610 crore in the April-June quarter.
  • Tata Consumer: Approved raising Rs 2,997.77 crore through a rights issue from 5 August to 19 August, with a record date of 27 July.
  • Torrent Pharma: Net profit rose by 1.20% to Rs 423 crore in the April-June quarter.
  • NTPC: The central government proposed setting up an 800 MW power plant in a joint venture between NTPC and BHEL.
  • M&M Financial: Net profit increased by 37% year-on-year to Rs 497 crore in the April-June quarter.
  • Sanstar: The company’s IPO was subscribed 82.99 times, with retail subscription at 24.23 times, and it is now closed for subscription.

Commodity and Currency Updates

Changes in commodity prices and currency rates were noted:

  • Gold (10g): Rs 68,970, down by 5.37%.
  • Silver (1kg): Rs 84,890, down by 4.39%.
  • USD-INR: Rs 83.66/USD, unchanged.

Global Indices Performance

  • Dow Jones: Closed at 40,415.44, up by 0.32%.
  • Nasdaq: Closed at 18,007.57, up by 1.58%.

Long Term Returns

Long-term performance over the past 20 years for key indices:

  • Sensex (India): 14.82% p.a.
  • Nifty (India): 14.61% p.a.
  • Dow Jones (US): 7.21% p.a.
  • Nasdaq (US): 11.93% p.a.

This comprehensive analysis provides a detailed overview of the stock market’s performance, sectoral trends, significant gainers and losers, budget highlights, company updates, and global market trends.

Read More Stock Market Daily Updates

8 thoughts on ““Stock Market Recap: Key Highlights and Trends Post Union Budget 2024””

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