The hike raised concerns over trading volumes in the F&O segment.
The announcement marked a significant change for derivatives market participants, as the STT on futures contracts was raised to 0.05% from 0.02%, while the STT on options contracts increased to 0.15% from 0.10%, signaling higher transaction costs for traders and investors.
Following the news, broker stocks tumbled, with Billionbrains Garage Ventures (Groww) down 10.11% and Angel One falling 11.12%.
The only listed stock exchange, BSE was down 15%.