The Budget is a financial statement that shows the future economic activity of a country. Being the most watched event of the nation, it has an immediate impact on the behavior of the equity market. In India, NIFTY and SENSEX are the two important broader market indices that dance to the cues of the budget speech by the Finance Minister on the budget day. Depending on the nature of information, the other sectoral indices too behave either positively or negatively in the stock market. The present study examined the impact of the Union Budgets on the behavior of 11 sectoral indices of NSE based upon the indices' movement prior to and subsequent to the budget day. The event window period was categorized into short term, medium term, and long term, and for the analysis purposes, Wilcoxon matched pairs test was applied to measure the nature and extent of the impact of the budget.

1. Chotalia, P. (2013). Impact of union budgets on NSE from 2007 to 2011. VSRD International Journal of Business and Management Research, 3 (8), 337-343.
2. Gupta, A., & Kundu, D., (2006). A study of the impact of union budget on stock prices in India. The ICFAI Journal of Applied Finance, 12 (10), 65-76.
3. Khanna, K., & Gogia, N. (2014). A pragmatic study of budget announcements & stock market performance: India, US, & UK Panorama. VSRD International Journal of Business and Management Research, 4 (2), 35-38.
4. Lazar, D., & Pramod, G. (2010). A study on the influence of corporate actions on share prices of selected companies from NSE. Indian Journal of Finance, 4 (7), 23-31.
5. National Stock Exchange (NSE). (Various Years). Historical data for the period from 2004 to 2014. Retrieved from <a href=http://nseindia.com/products/content/equities/indices/historical_index_data.htm target="_blank">http://nseindia.com/products/content/equities/indices/historical_index_data.htm</a>
6. Pandya, I. H. (2014). Impact of the Union Budget on the Indian stock market. Indian Journal of Finance, 8 (3), 44 - 57.
7. Rao, S.V.D. N. (1997). Impact of macroeconomic events on stock price behaviour. Management and Accounting Research, 1, 46-67.
8. Saraswat, P., & Banga, J. (2012). Volatility of Sensex with respect of Union Budget of India : A pragmatic study. Transstellar International Journal of Accounting and Financial Management Research, 2(1), 19-31.
9. Singh, G., & Kansal, S. (2010). Impact of union budget on the Indian stock market-A case study of NSE. Asia-Pacific Journal of Social Sciences, 2 (1), 148-160.
10. Thomas, S., & Shah, A. (2002, February 2-8). Stock market response to Union Budget. Economic and Political Weekly, 37 (5), 455-458.
11. Verma, A., & Agarwal, N. (2005). Impact of budget on stock prices: An event study. PCTE Journal of Business Management, July - December, 17-23.