Share Market HIGHLIGHTS: Sensex ends 73 pts lower, Nifty at 24,479 as market recovers much of intraday losses amid volatile Budget trade

Closing bell | Sensex down over 73.04 pts, Nifty settles at 24,479.05

Share Market Today LIVE, Budget Day 2024 | Budget has presented short-term challenges for markets - Axis Securities 

"The rise in capital gains tax rates and the increased STT are a short term negative. The capital expenditure allocation, unchanged at Rs 11.1 lakh crore, fell short of the expected Rs 11.5-12 lakh crore. However, the budget does have its positives. The fiscal deficit has been reduced to 4.9 per cent, compared to 5.1 per cent in the interim budget, demonstrating a solid fiscal consolidation path. Additionally, the budget places a strong emphasis on welfare schemes, aiming to alleviate rural distress and support the rural economy. Despite the initial market reaction, the impact is expected to be temporary, with a return to normalcy anticipated soon," says Pranav Haridasan, MD & CEO, Axis Securities. 

Share Market Today LIVE, Budget Day 2024: Budget growth-oriented, says AMFI's Venkat Chalasani 

Stating that the latest Budget is growth-oriented, AMFI Chief Executive Venkat Chalasani says that the "focus on fiscal consolidation without cutting down on capital expenditure with a clear roadmap for Viksit Bharat is extremely positive. The emphasis on job creation, skilling, a boost to the MSME sector as well as tax relief to the middle classes will add more income to the hands of the people."

"The increase in the exemption limit for Long Term Capital Gains tax from Rs 1 lakh to Rs 1.25 lakh is a welcome change. While the changes in rates for LTCG and STCG were not anticipated, the markets will take them in their stride," says Chalasani, adding: "We are happy to note that AMFI’s demand of change in the definition of ‘Specified Mutual Funds’ under Section 50AA has been acceded to and will lead to rationalisation in taxation for the funds affected hitherto."

Share Market Today LIVE, Budget Day 2024: Budget presents short-term challenges for markets, says Axis Securities' Pranav Haridasan

Axis Securities MD and CEO Pranav Haridasan is of the view that the proposed rise in capital gains tax rates and the increased STT are short-term negatives for the markets.

"The capital expenditure allocation fell short of the expected Rs 11.5-12 lakh crore. However, the Budget does have its positives. The fiscal deficit (target) has been reduced to 4.9 per cent, compared to 5.1 per cent in the Interim Budget, demonstrating a solid fiscal consolidation path. Additionally, the Budget places a strong emphasis on welfare schemes, aiming to alleviate rural distress and support the rural economy. Despite the initial market reaction, the impact is expected to be temporary, with a return to normalcy anticipated soon," adds Haridasan.

Share Market Today LIVE, Budget Day 2024 | Market in last 30 mins trade 

>> Sensex is up over 10 points. 

>> Nifty is above 25,500. 

Share Market Today LIVE, Budget Day 2024 | Buy Genus Power, says Vikas Sethi 

Vikas Sethi of Sethi Finmart Pvt Ltd recommends buying shares of GE Power at a target price of Rs 375 keeping the stop loss at Rs 345. 

Share Market Today LIVE, Budget Day 2024 | Higher capital gains could also result in market valuations consolidating at current levels, says Rahul Singh of Tata Asset Management

"We expect the equity markets to become more balanced as the growth in cyclical sectors (defense, manufacturing, capital goods, power) that have done well over the last 12-24 months get supplemented by the potential recovery in consumption as a result of the budget provisions. Higher capital gains could also result in market valuations consolidating at current levels with a rotation towards a more balanced sectoral performance. Given Budget’s par allocation to various sectors, thematic movements could subside leading to a bottom-up stock selection becoming more important," says Rahul Singh, CIO-Equities, Tata Asset Management.

Share Market Today LIVE, Budget Day 2024 | M&M Finance post Q1 results 

The company records a net profit of Rs 513 crore against Rs 353 crore year-on-year (YoY).

Share Market Today LIVE, Budget Day 2024 | Stocks at their 52 week high 

Share Market Today LIVE, Budget Day 2024 | Vaibhav Porwal of  Dezerv on capital gains tax changes in budget 

"The recent changes in the union budget, particularly the increase in STCG and LTCG tax signal a significant shift. While the market's initial reaction may seem bearish, we believe these changes will ultimately foster a more stable and mature investment environment. The widening gap between STCG and LTCG rates is a clear incentive for longer-term holdings, which aligns with our view of creating sustainable wealth. This move is also a step towards standardising taxation across various asset classes, potentially simplifying the investment decision-making process for many. The market is currently responding with a short-term perspective, particularly concerning the Securities Transaction Tax (STT) adjustments in derivatives. This will undoubtedly impact the profitability of frequent traders. However, we encourage investors to look beyond immediate market reactions and consider the long-term benefits of a tax structure that promotes patient capital,” says Vaibhav Porwal, Co-founder, Dezerv.

Share Market Today LIVE, Budget Day 2024 | Increase in capital gains tax and securities transaction tax is a dampener for capital markets, says Sandeep Nayak of Centrum Broking (Retail)

"The triad of welfare spending, capital expenditure, and fiscal discipline has been beautifully balanced by the Government in this budget. There is a good amount of welfare spent on women-led development, the MSME sector, and the agriculture sector covering a large part of the populace. Augmenting the welfare spending with an adequate thrust on capital expenditure while containing the fiscal deficit at 4.9 per cent of GDP is a fine balancing act. However, the increase in capital gains tax and securities transaction tax is a dampener for capital markets," says Sandeep Nayak, ED & CEO of Centrum Broking (Retail). 

Currency update | Rupee falls to record low of 83.69 per US dollar 

Share Market Today LIVE, Budget Day 2024 | MCX gold declines over 2 per cent after FM announces reduction in custom duty 

MCX Gold August futures decline after FM announces reduce custom duty on gold. 

Share Market Today LIVE, Budget Day 2024 | Gold related stock in focus 

Muthoot Finance, Kalyan Jewellers and Titan shares gain after FM announces reduce custom duty on gold. 

Share Market Today LIVE, Budget Day 2024 | Pharma stock in focus 

Nifty Pharma is up 0.3 per cent after FM exempts three cancer drugs from customs duty.