After Sunday’s Budget-triggered rout, Dalal Street is set for a cautious comeback. The stock market on Dalal Street is expected to begin its recovery process after experiencing a Budget-induced downturn on Sunday. The market is likely to open higher on Monday, as investors take time to recover from the recent decline following the announcement of increased F&O transaction fees. However, the situation is unlikely to improve significantly at this stage. Investors are expected to face continued market fluctuations as they navigate mixed global cues, anxious derivatives traders, and lingering Budget-related concerns. While early signs point to a tentative recovery, investor confidence remains fragile, creating conditions for sudden price swings throughout the trading day.
Why The Stock Market Crashed On Sunday, Union Budget Day 2026?
The Dalal Street market experienced an abrupt wake-up call on Sunday. The market decline began during the special trading session after Finance Minister Nirmala Sitharaman announced plans to increase the Securities Transaction Tax on futures and options, triggering panic among traders overnight. Trading volumes fell in derivatives-heavy counters as higher costs made operations less attractive. The Sensex dropped 1,546.84 points, or 1.88%, to close at 80,722.94, while the Nifty 50 declined 495.20 points, or 1.96%, to settle at 24,825.45. The sharp reaction to a single tax tweak pushed investors toward risk-averse positions.
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Sensex: Down 1,546.84 points (1.88%) at 80,722.94
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Nifty 50: Down 495.20 points (1.96%) at 24,825.45
The move rattled traders, especially in derivatives-heavy segments.
What Is Shaping The Stock Market Today?
Gift Nifty Signals Positive Start
- The Gift Nifty index showed positive market performance, opening in the 24,875–24,902 range, creating early optimism.
- Nifty futures closed 22–49 points above the previous session, indicating traders are attempting a rebound.
- Market participants remain cautious as the Budget-driven sell-off has kept conditions volatile.
Asian Markets Display Global Market Trends
- Asian markets showed mixed performance as traders awaited China’s factory activity data.
- Japanese markets outperformed, with the Nikkei rising 0.13% and the Topix gaining 0.52%, supported by domestic cues.
- South Korean markets weakened as the Kospi fell 2.5% and the Kosdaq declined 3%, reflecting investor risk aversion.
- Hong Kong markets were set for a weak opening, with Hang Seng futures indicating lower prices.
Wall Street
- US stock markets declined amid concerns over a potentially hawkish Federal Reserve stance.
- The Dow Jones fell 179.09 points, or 0.36%.
- The S&P 500 declined 0.43%.
- The Nasdaq dropped 0.94%, dragged down by weakness in technology stocks.
Commodity Market Snapshot
Gold & Silver
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Gold prices continued to decline, with spot gold falling 1.5% to $4,793.97 per ounce amid a stronger dollar.
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MCX gold April futures slipped 2.87% to ₹1,48,104 per 10 grams.
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MCX silver hit a 9% lower circuit at ₹2,65,652 per kg as traders booked profits.
Crude Oil
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Oil prices fell as geopolitical tensions showed signs of easing.
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Brent crude slipped to $67.48 per barrel.
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WTI crude declined to $63.41 per barrel.
Sensex And Nigty50 Outlook Today, Stock Market Today Prediction
The Sensex market shows its ongoing downturn through its current performance, which displays a long bearish candle while operating below its 200-day simple moving average. Experts note resistance near 81,300, while support is seen at 80,100–79,900. The index could experience a deeper correction toward 79,600–79,000 before showing upside potential above 81,300, targeting 81,900 levels.
Nifty 50 has decisively broken the crucial 25,000 support, reinforcing a bearish market structure. Experts see immediate support at 24,500–24,400 and resistance around 24,900–25,000. The market trend remains sell-on-rallies, with sentiment likely to stabilise only when the index crosses the 25,300 resistance band.