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    WHY STOCK MARKET IS CRASHING

    Relief for stock market investors? Why double taxation of dividends should be removed in Budget 2024

    Budget 2024 expectations: The abolition of dividend distribution tax has affected taxpayers in India. Resident shareholders are now taxed on dividends at their income tax slab rates, leading to a higher effective tax burden compared to the previous system. Such dual taxation distorts investment decisions as it incentivises companies to retain earnings rather than distribute them as dividends. To address this challenges, rationalisation of the tax treatment of dividends is crucial. Here's how Budget 2024 should address it.

    Sensex ends over 400 points lower, smallcaps worst hit. 5 factors brought the bears out

    Stock Market Crash: Sensex plunged over 800 points intraday on Wednesday, with Nifty dropping over 1%, shaking retail investors accustomed to daily gains but recovered half of the losses towards the end of the day. Smallcap and midcap indices saw their worst day in over a month. M&M led Nifty's decline with a 7% drop amid concerns over XUV700 price cuts signaling weaker car demand.

    Buy stocks in every dip: A cheat sheet to find right stocks from the right sectors

    CA Rudramurthy BV shares insights on the market, highlighting opportunities in IT, pharma, and FMCG sectors. He recommends caution with PSUs and emphasizes stock-specific investments. Bajaj Finance and Manappuram show potential for gains with tight stop losses. Rudramurthy says "we are in the mother-of-all-bull market and this market, both magnitude-wise and time-wise, will surprise on the upside and it is a buy-on-every-dip market."

    RVNL, REC among BSE500 stocks defying today's market downtrend

    Despite gains for RVNL, CAMS, and REC, the bearish market saw Sensex and Nifty crashing. RVNL gained 8%, CAMS 4%, and REC over 3%. Mahindra & Mahindra fell 7%, signaling weak auto demand. Media, PSU banks, real estate, and oil and gas sectors suffered. Sensex and Nifty's crash impacted smallcaps significantly.

    Market can only go up now irrespective of Budget. Here's why

    The Street has discounted the defence manufacturing stocks too much into the future. Even the earning visibility has been discounted. It is a fast-moving train; it does not make sense to get onto that train at this point. There are many choices when it comes to rural play – two-wheelers, fertilisers, pesticides and M&M, says Dipan Mehta.

    Misjudging market dynamics - why this can be detrimental for investors

    In 2021, for instance, euphoria surrounded several newly listed companies. Many investors poured money into these companies based solely on hype, neglecting factors like profitability and growth prospects. This resulted in a correction in 2022, with several companies that previously completed successful IPOs witnessing significant value erosion.

    The Economic Times
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