A Study On The Impact Of Budget On Indian Stock Market Returns (With Special Reference To Nifty 50)

Abstract

The research study focuses on the analysis of how the budget affects the Nifty 50 index. The daily average returns and the volatility of returns over a ten-year period (2014–2023) have been used to measure the impact of the budget. During the Pre-budget and Post-budget periods, the study time is divided into three categories: short term (5 days), medium term (15 days), and long term (30 days). To determine the impact of the budget and the volatility of returns, statistical tests like the t-test and F-test have been applied to the returns of the nifty 50. As a result the post-budget period has not seen a rise in volatility as the time period moves on. The choice of investors to make investments in the stock market during the budgetary period is regarded as a riskier move in comparison to other periods.