Audio story: Why did the Sensex hate this budget?

Audio story: Why did the Sensex hate this budget?
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First Published: Tue, Jul 07 2009. 12 33 PM IST
Updated: Tue, Jul 07 2009. 12 33 PM IST
New Delhi: Manas Chakravarty, Mint’s Consulting Editor and Mark to Market columnist talks about why the Budget reacted negatively to the Budget.
Listen to Manas Chakravrty’s reactions to Budget 2009
He says the markets plunged because the investors were disappointed by an absence of sweeping reforms and pro-market measures. Also, the disinvestment figure of Rs1,120 crore was very low.
He futher added that the government had in fact missed a good opportunity to assure the markets of its road map for the next five years. “Although the government has tried it’s best to stimulate the economy, it has fallen short of expectations,” he said.
Indian shares extended losses to 5% on Monday afternoon as the budget failed to live up to expectations and on concerns over a higher fiscal deficit in the current fiscal year.
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First Published: Tue, Jul 07 2009. 12 33 PM IST