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Budget session on Saturday, as investors reacted to a smaller-than-expected increase in government capital expenditure and plans to stimulate consumption through personal tax cuts in the Union Budget 2025. The benchmark BSE Sensex gained 5.39 points or 0.01% to close at 77,505.96, while the broader Nifty 50 index closed at 23,482.15, lower by 26.25 points or 0.11%.

Budget on Saturday as investors saw little coming in from the Finance Minister Nirmala Sitharaman. The benchmark Nifty slipped by a marginal 26 points at 23,318, while Sensex eked out a 5-point gain. Analysts say the underlying trend of Nifty remains positive and the market is facing stiff resistance around 23,500-23,600 levels. «A decisive move above this hurdle could open further upside towards 24,000 levels in the near term. Immediate support is placed at 23,300 levels,» said Nagaraj Shetti of HDFC Securities.

IPOs. In a year that saw the global economy navigate economic and geopolitical uncertainties, India emerged as an attractive option for global and Indian investors. This was due to its strong economic fundamentals, increasing investment appetite from domestic retail investors and political stability. Such tailwinds are expected to continue, and this year is expected to surpass 2024 in terms of the size and volume of mainboard IPOs in India. However, the following trends for mainboard IPOs are expected to emerge:

World Trade Organization, the Chinese commerce ministry said on Sunday.

ADANI PORTS & SEZ THE GOVERNMENT’S impetus to micro, small, and medium enterprises will further strengthen domestic manufacturing. In addition, a maritime development fund with a corpus of Rs 250 crore will be formed to expand shipbuilding. These initiatives will have a long-term indirect benefit to the port activities.

CAPITAL GAINS AIFs Get Clarity on Tax The government has clarified that profits earned by ‘Category 1 and ‘Category 2’ alternative investment funds (AIFs) from sale of securities will be treated as capital gains and not business income which is higher. So investors in AIFs will pay capital gains tax and not 30% income tax.

While many were talking about the need for interest rate cuts, the real issue at this point was the slowdown in consumption. The government has put money in the hands of people at the lower end of the income spectrum through tax reductions. This was the need of the hour and, in that context, it was the right budget for this stage of the economic cycle.

Borrowing is set at ₹11.5 lakh crore, ensuring that fiscal discipline is maintained without hampering growth. After a fiscal deficit peaking at 9.2% in FY21, it has steadily declined to 4.8% in FY24, driven by strong growth and fiscal discipline.

economic growth) translating to the micro (corporate profit growth). On the macro, the finance minister has just delivered a bullish budget. And yet, the million-dollar micro question remains — will corporate profits revive? First, the budget. It can be dissected into three C's — consolidation, consumption, and capex. On the consolidation front, the budget is firmly on track, with FY25 fiscal deficit at 4.8% of gross domestic product (GDP), expected to be further lower at 4.4% in FY26.

Trump's decision on Saturday to apply tariffs on Canadian and Mexican oil, according to analysts and fuel traders.

income tax cuts in the budget spurred a rally in shares of consumption companies Saturday as investors bet that individuals with money at their disposal would be encouraged to spend more on personal mobility choices and other consumer discretionary products. Nifty’s Realty index jumped 3.4%, while Fast Moving Consumer Goods (FMCG) and Consumer Durables indices were up about 3% each. The Nifty Auto index gained 1.9%. Benchmark Nifty ended 0.1% lower.

fiscal discipline and much-needed growth support through targeted measures. The major highlights of this year's budget were direct tax cuts and rationalisation of tax slabs, measures that would benefit middle class households. This year's budget aligns closely with previous budget themes, presenting no major surprises in fiscal calculations. The themes of conservatism and consolidation remain prominent. As anticipated, the government is targeting a fiscal deficit of 4.4% of GDP in FY26. This move is seen as essential for consolidating the fiscal health while avoiding excessive borrowing that could lead to inflationary pressures. This reflects the government's intent to reduce its reliance on debt, which will have a positive effect on long-term economic stability. A key question was whether consolidation would come from revenue or capital expenditure. The budget indicates that the government plans to primarily restrain non-capital expenditure, which is a very positive development.

Subscribe to enjoy similar stories. Retail investors who had been strategically accumulating stocks during the market's 7.3% decline in the December quarter, betting on a rebound, were rewarded with the unveiling of the Union budget. A Mint analysis of 1,957 companies shows that individual investors (holding nominal share capital up to ₹ 2 lakhs) increased their ownership in approximately 51% of these companies between the September and December quarters.

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Subscribe to enjoy similar stories. Micro, small and medium enterprises (MSMEs) are the backbone of India’s economic structure, contributing nearly 30% to gross domestic product (GDP), 45% to exports and generating employment for over 75 million people. Despite their crucial role, MSMEs have long grappled with financing bottlenecks, infrastructural gaps and slow technological adoption.

Subscribe to enjoy similar stories. Finance minister Nirmala Sitharaman presented the Union Budget for 2025-26 on Saturday. The Budget presents a chance for the government to show its intent on some of the burning issues of our times. In this four-part series, we use charts to illustrate how the Budget performed on 15 key concerns. Part 4 looks at income tax receipts, tourism, and the securities transaction tax. Each topic has a pair of charts—one presenting the context the Budget faced, and the other showing what Sitharaman delivered. Also read Part 1, Part 2 and Part 3. The importance of income tax: The number of income tax returns (ITRs) filed by taxpayers in India has rapidly increased in recent years, reflecting higher compliance.

Subscribe to enjoy similar stories. Finance minister Nirmala Sitharaman presented the Union Budget for 2025-26 on Saturday. The Budget presents a chance for the government to show its intent on some of the burning issues of our times. In this four-part series, we use charts to illustrate how the Budget performed on 15 key concerns. Part 3 looks at defence spending, trade, and India's Olympics dreams. Each topic has a pair of charts—one presenting the context the Budget faced, and the other showing what Sitharaman delivered. Also read Part 1 and Part 2. Defence priorities: India has the world’s fourth-largest military spending, and the defence ministry is one of the top ministries in terms of budget allocations.

tax collected at source (TCS). Finance Minister Nirmala Sitharaman on Saturday increased the threshold to collect tax at source (TCS) on remittances under RBI’s Liberalized Remittance Scheme (LRS) from Rs 7 lakh to Rs 10 lakh. She also proposed to remove TCS on remittances for education purposes, where the remittance is out of a loan taken from a specified financial institution.

Nirmala Sitharaman has just changed the prescription for economic growth to rely more on boosting consumption in a slowing economy rather than firing the capex engine with another double-digit hike. The impact of the shift was clearly visible on the stock market where beaten-down stocks from the consumption space suddenly became investor favourite while the good-old capex stocks were left reeling in losses. As against a flat Nifty, the FMCG index jumped 3% on Saturday, with stocks like Radico Khaitan, Godrej Consumer, United Spirits rallying up 10%. Supporting Sensex and Nifty were consumer-related stocks like ITC, Zomato, Trent, Tata Consumer and Asian Paints. On the other hand, capex-linked stocks like L&T, Siemens, etc were among the biggest losers on the Street.

real estate stocks surged as much as 9.3% on Saturday, February 1, after Finance Minister Nirmala Sitharaman announced the revised limit of the tax deducted at source (TDS) on rent to Rs 6 lakh annually. The Union Budget 2025 has brought welcome news for landlords and tenants, with a significant increase in the threshold for TDS on rent. The annual limit has been raised from Rs 2.4 lakh earlier, a move expected to ease the tax burden and simplify rental transactions.

Kaveri Seed Company, Mangalam Seed, Godrej Agrovet and Dhanuka Agritech surged up to 11% after Finance Minister Nirama Sitharaman announced a slew of measures to enhance pulses production in the country on Saturday during her budget speech and seed. Among the measures, Sitharaman announced a 6-year mission for self-reliance in pulses which aims to achieve self-reliance in pulses, with a particular focus on tur and masoor.