Benchmark indices closed lower on Tuesday, with NIFTY50 down 0.12% and SENSEX shedding 70 points. In the NIFTY50 space, 29 stocks were declining. L&T, Hindalco and Shriram Finance were among the top losers.

Benchmark indices recovered all the intraday losses in the closing hours of trading session. NIFTY50 is currently trading 10 points higher at 24,518. Similarly, SENSEX is also trading 100 points higher at 80,600.

The broader indices like NIFTY midcap 100 and NIFTY smallcap 100 too have recovered from its intraday lows and currently trading 0.5% lower vs -5% in the afternoon session.

Benchmark indices and broader indices recouped earlier losses after FM Nirmala Sitharaman announced hike in LTCG, STCG and STT. The NIFTY50 made the intraday low of 24,074 falling nearly 420 points. Similarly, SENSEX made low of 79,292 down 1500 points . However, both the benchmark indices are now trading higher from day lows at 24,441 and 79,948.

Markets react negatively to FM's announces an increase long-term capital gains tax from 10% to 12.5%. In addition, short-term capital gains on certain financial assets increased to 20%. The exemption limit on long-term capital gain tax increased to ₹1.25 lakh from ₹1 lakh. The securities transaction tax for futures and options segment from 0.02% to 0.1%.