The Sensex provisionally closed (at 3.30 p.m.) at 34,195.94 points - down 561.22 points or 1.61 per cent - from its previous close at 34,757.16 points. The budget proposes to bring back a long-term capital gains tax or LTCG on equity investments, a tax on dividend distribution and also spending steps that will widen the fiscal deficit.
Overseas, European and Asian stocks tanked following a sharp sell-off on Wall Street.
In the morning trade, the Sensex fell over 1,200 points and Nifty50 dipping below 10,300 points, biggest falls in six-and-half years after the US wage data on Friday pointed to quickening inflation which may lead to higher rates by the US Federal Reserve.
Taiwan shares lost 5%, its biggest since in 2011 and Hong Kong's Hang Seng Index dropped 4.2%.
Bajaj Fin (+4%), Indiabulls HF (+1.5%), ICICI Bank (+1%), Eicher (+0.99%) and Tata Steel (+0.82%) were the top gainers on the NSE. As many as 13 per cent felt the fall could be steeper at 10 per cent.
Trade Deficit Soars to Highest Level Since 2008
A widening trade deficit threatens to undermine the Trump administration's goal of achieving 3 percent or better economic growth. At the same time, the latest trade figures also reflect the rising value of commodity imports due to higher commodity prices.
DayZ Will Make Its Way to Xbox One and PlayStation 4
The game's become so popular that Microsoft's gone ahead and integrated the game with the system itself - in the same box, anyway. As a timed Xbox exclusive, " PUBG " fans will have to do with either a PC or Xbox One version of the game, at least for now.
21 contract HIV after quack reuses syringe
Siddharth Nath Singh, Uttar Pradesh health minister, promised a crackdown on unqualified medics across the state. A case has been registered against the quack Rajendra Kumar at Bangarmau police station, the CMO said .
Nifty 50 fell 186.50 points or 1.75 percent to 10,480.
In intraday trade, Sensex slumped almost 1,274.35 points to 33,482.81 points, while Nifty declined 371.40 points to 10,295.15.
It also added, "The President's tax cuts and regulatory reforms will further enhance the USA economy and continue to increase prosperity".
Indian stock markets were already under pressure after the government re-introduced LTCG-tax on equities in Budget-2018.
Commenting on the market crash, Finance and Revenue Secretary Hasmukh Adhia said that the domestic market was mimicking weakness in global markets and it can not be attributed to LTCG tax levied in the Budget. According to reports, Dow notched its biggest intraday decline in history with a almost 1,600-point drop while Wall Street erased its gains for the year, said Reuters.
Todd Frazier, Mets Agree to 2-Year, $17M Contract
Free-agent third baseman Todd Frazier has signed a two-year, $17 million deal with the Mets , a source told ESPN's Jerry Crasnick. In 81 games, the White Sox slugger only managed to hit 16 home runs while driving in just 44 runs, and hitting a paltry.207.
Watch Falcon Heavy rocket launch from Florida online today
The live video feed of the ship cut out before the core approached; SpaceX has yet to confirm if the core successfully landed. On Monday, Musk said the auto would be outfitted with three cameras that should be able to beam back "some epic views".
Justin Kluivert rules out Manchester United move "for now"
Needless to say, if United are to maintain second spot and progress in the Champions League, this is where they need to improve. This was indeed the right response but we didn't see anything new, and nor was the no-show at Wembley a surprise either.
Maldives declares state of emergency Malé, Maldives
How does Gayoom fit into this? Gayoom ruled the country for 30 years until 2008 and is now in opposition. The opposition have called the government moves a "purge" and there has been worldwide condemnation.
Immigration takes the center stage in Colts player death
The pickup's driver, a 37-year-old Indianapolis man, tried to flee on foot but was quickly captured, State Police said . Orrego-Savala was driving without a license and initially gave officers a fake name after he was caught, police said.