Market Gains Null Despite Tax Relief in Union Budget 2023

The Sensex and Nifty indices closed nearly flat during a special trading session following the Union Budget presentation. Although consumption-related sectors saw gains due to tax relief for middle-class consumers, the overall market reaction was mixed, with some sectors facing declines due to unmet expectations in capital expenditure.

The benchmark indices Sensex and Nifty ended flat in a special Saturday trading session, following the Union Budget presentation by Finance Minister Nirmala Sitharaman.

While sectors tied to consumption recorded gains due to tax exemption on incomes up to Rs 12 lakh, overall market responses remained cautious as capital expenditure increases fell short of expectations.

Sectors such as railways and defense saw dampened sentiment. Despite the softness, some market sectors, including consumer durables and FMCG, showed significant gains.

(With inputs from agencies.)