The market gloom appears to be spreading to specific sectors now. Shares of major cement companies are trading in red on Thursday, July 25.
The market gloom has been persistent since the presentation of the budget on July 23. The budget had some key focus points, primarily Youth, Skilling and Employment. However, some other moves made in the budget appear to have swayed the equity markets.
ACC Cements Shares Dip
The cement shares, despite trading well in the recent past, appear to have hit the block. Adani-owned ACC Cements stands out as the worst hit, with a decline of over 1.26 per cent or Rs 33.05, slumping to Rs 2,586.30 per share.
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ACC was acquired by Gautam Adani-run Adani Group in 2022. |
Then came another Adani acquisition, namely Ambuja Cements, the company shares dropped by 0.69 per cent or Rs 4.70, taking the value of the shares to Rs 677.70.
Another major player in the sector, Shree Cement also lost some of its value compared to the previous trading day. The company dropped by 0.23 per cent or Rs 64.40. The share price slipped to Rs 27,487.60.
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Finally, the market leader, Ultratech, was also trading in red until it recovered at the bourse.
The Mumbai-based company, after slumping at the beginning of the day, gathered some momentum in the positive direction and gained 0.15 per cent or Rs 16.90, taking the value of each individual share to Rs 11,470.30.
Ultratech is the market leader in the cement business. |
Budget's Focus On Infra
These developments come after the recently presented union budget brought infrastructure-related companies to the spotlight.
The Union Government's budget announced crucial allocations for infrastructural development in states in eastern India, particularly Bihar, which received a bumper allocation of Rs 26,000 crore.
Along with that, the focus was on the state of Andhra Pradesh. The state bagged Rs 15,000 crore for the development of its state.
