The stock markets reacted negatively to Yashwant Sinhas budget
proposals: share values nosedived and a number of active scrips
hit the lower circuit breakers.
While the 30-share
benchmark Sensex plunged 4 per cent, or 143.35 points, to close at
3562.31, on the National Stock Exchange, the S&P CNX Nifty
index closed lower by 46.90 points (3.91 per cent) at 1142.30.
Stocks across the board
nosedived with IT, PSU, steel and cement scrips bearing the brunt.
The selling was also due to the expiry of the derivatives contract
for February 2002 and the ongoing communal tension in Gujarat.
of the leading counters were hammered down as the finance minister
announced the tax proposals. In just a few minutes, the Sensex was
down by 168 points after some buying was seen at these levels.
Among the major losers
were Satyam Computers, Infosys, SBI, MTNL, ICICI, Digital Global,
Bharti and ACC. But PSU stocks did not suffer as heavy a hammering
as others, indicating market interest in them.