Rail stocks slide in absence of major announcement in budget

Tags: News
Rail stocks today saw hectic selling pressure, falling as much as 10 per cent, in the absence of any major announcement in the interim Railway Budget.

Shares of Hind Rectifiers slumped 10.09 per cent, while Kernex Microsystems India tanked 4.04 per cent.

Among others, Kalindee Rail Nirman (Engineers) lost 1.81 per cent and Titagarh Wagons was down 1.33 per cent on the BSE.

"Shares of companies related to railways fell due to lack of major expected announcements. Kernex, Kalindee were some of the stocks impacted by the news," said Rakesh Goyal, Senior Vice President, Bonanza Portfolio Limited.

Passenger fares and freight rates were left untouched today in the interim rail budget, which talks about plans about involvement of private sector and FDI as part of efforts to modernise the largest transport network in the country.

Presenting the interim budget for four months in the Lok Sabha, Railway Minister Mallikarjun Kharge said an independent Rail Tariff Authority is being set up to rationalise fares and there was a proposal to expand dynamic pricing of tickets in line with the airline industry.

The budget speech did not touch upon passenger fares or freight rates. Kharge later said no hike has been proposed.

Annual Rail Plan has been pegged at Rs 64,305 crore with a budgetary support of Rs 30,223 crore.

EDITORIAL OF THE DAY

  • It is for the market, not the government to decide the fares of private air carriers

    In a country where substantial lip service is paid to the glories of a free economy and laissez faire, there is enough evidence to suggest that in rea

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

Sarthak Raychaudhuri

vice-president, HR, Asia South Whirlpool of India

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

TODAY'S COLUMNS

Arun Nigavekar

Moocs will not replace traditional education

I am revisiting the topic of massive open online course ...

Zehra Naqvi

Minimalism: declutter your life

When you imagine an ideal place to live, you think ...

Gautam Gupta

Our fashion schools need to notch it up

“Creativity is the key to success and primary education is ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture