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Sensex Plunges 793 Points On Budget Woes; Nifty Slips Below 11,600

Indian shares plunged on Monday, with key benchmark indexes seeing their worst single-day fall of 2019, as several proposals in Nirmala Sitharaman's Budget spooked investors.

Investors were disappointed by a lack of proposals in the Union Budget to stimulate a sagging economy.

Certain proposals in the Budget such as measures for increasing the minimum public shareholding for all listed companies, a 20 percent tax on share buy backs and an increase in the tax incidence for foreign portfolio investors and high net-worth individuals also took toll on investor sentiment.

The S&P BSE Sensex slumped as much as 907.91 points to touch intraday low of 38,605.48 before ending the session down 792.82 points or 2.01 percent at 38,720.57.

The NSE Nifty 50 index ended down 252.55 points or 2.14 percent at 11,558.60.

Hero MotoCorp, NTPC, ONGC, Bajaj Finance and Bajaj FinServ slumped 5-10 percent while Yes Bank soared 5.9 percent after announcing senior-level appointments and confirming that its financial position is sound and stable.

Punjab National Bank plummeted over 11 percent after detecting a borrowing fraud of Rs 38.05 billion ($556 million) in Bhushan Power.

Maruti Suzuki India lost 4.8 percent on cutting production for the fifth month in a row in June.

Globally, Asian markets retreated as strong U.S. jobs data tempered expectations for a near-term interest rate cut by the Federal Reserve.

Geopolitical tensions also dented sentiment after Iran said it will break a limit set on uranium enrichment under its 2015 nuclear accord with major world power.

European stocks were moving lower in early trade as investors scaled back expectations for near-term U.S. rate cut and looked for progress in the long-running U.S.-China trade dispute.

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