The GST Council's bold move to cut rates on several products brought cheers to the Dalal Street in Monday's trading session. Havells India (up 8.39%), Bajaj Electricals (up 10.87%), Whirlpool of India (up 3.16%), Crompton Greaves Consumer Electrical (up 2.26%), Voltas (up 2.45%) were all seen trading higher after the GST rate on electrical goods was revised lower from the earlier 28% bracket to 18% slab rate. The list includes small TV sets, fridge, washing machines, laundry machines etc.
At the same time, the Council also slashed rates on paints, varnishes, leather items among other goods. So, with the revision now only 35 items will remain in the highest tax bracket of 28% as against 226 items on July 1, 2017.
The stock of Asian Paints also got a boost from the GST rate cut on paints and varnishes and traded higher by 2.12% but later in the afternoon session pared its early gains.
Cigarette stocks that include ITC and Godfrey Phillips India also found traction with gains of 3.78% and 7.88% respectively as the GST Council this time around did not revised the cess on cigarettes.
Meanwhile, Sensex was trading off day's high points due to selling in some major sectoral indices.