Union Budget to decide the sentiment in equity market

When the Union Budget 2011-12 is tabled in Parliament today, it can be a “game changer” for the stock market, which is currently grappling with macro-concerns, including inflation and the crisis situation in the Middle East and North Africa, say experts.

Steaming crude oil prices spiked by political tensions in Libya pulled down the BSE benchmark Sensex by 2.8 per cent or over 510 points to 17,700.91 level last week. Further, the Sensex witnessed a single day sell-off of over 500 points on Thursday—its biggest decline since August 2009.

“There is a very strong possibility that the Union Budget could be a game changer as far as the direction of the stock market is concerned. The market has a very strong inertia (right now).