Indian market logged its biggest Budget day fall in the last 11 years after the Steet was disappointed by the Union Budget 2020. The bloodbath wiped off nearly Rs 3.5 lakh crore investor wealth.

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Investors lost Rs 3.54 lakh crore as total market capitalisation of BSE-listed firms came down to Rs 152.97 lakh crore from Rs 156.50 lakh crore on Friday.

The fall was also the biggest single day slump in the last 5 years. The BSE Sensex tumbled 987.96 points or 2.43 percent to end at 39,735.53, while the Nifty50 index closed 318.30 points or 2.66 percent lower at 11,643.80 dragged by selling across the board.

Only 5 stocks - TCS, HUL, Nestle, Tech Mahindra, and Infosys ended in the green on BSE Sensex, while, ITC, L&T, HDFC, SBI, ICICI Bank were the top lowers. Sectorally, the biggest loser was Realty sector followed by metals, fin services, auto, and FMCG. Nifty Realty lost over 8 percent, while Nifty Bank and Nifty Auto shed around 3 percent.

READ MORE: Six reasons why Sensex slumped 1,000 points today

Vinod Nair, head of research at Geojit Financial Services, said that the Budget was ‘below-par’ considering that the market had very high expectations from the government. The support for the economy in terms of more spending was lacking in details, he said.

Rise in custom duty in most sectors, marginal relief for income taxpayers and less-than-expected allocation in infra spending were among the major factors that triggered the sharp sell-off.

Meanwhile, as per to Ajit Mishra, VP Research at Religare Broking, markets will continue to see the overhang of the Union Budget next week as well. Besides, weak global cues would further add to the participants’ worries.

READ MORE: Market sees biggest fall on Budget day in 11 years; here's how it fared in previous years

However, Motilal Oswal, Managing Director & CEO, Motilal Oswal Financial Services is of a bullish view. “Markets have taken a cautious view on the budget, the tax rate cut and DDT benefit will help economy to grow and corporate payouts to increase, at these levels one should buy for long term,” he said.

First Published:Feb 1, 2020 6:16 PM IST