Sensex Cheers Budget Announcement; Surges Over 400 Points

The big announcement such as the tax exemption limit enhancement to just double to Rs. 5 lakh and other big-shot farm relief measures have lifted the stock market sentiment.

The Sensex is up 133.61 points or 0.37% at 36390.30, and the Nifty up 32.65 points or 0.30% at 10863.60.

Sops announced for the farm sector as well as pension sceheme for the unorganised sector has augured well for the markets.

Consumer and consumer discretionary stocks surged. Also, auto stocks rallied in line, Maruti Suzuki jumped by 5%.

PSU Banking stocks were also trading higher after the central bank lifted curb on lending. Some of the PSBs trading in the green include Bank of India, Bank of Maharashtra, OBC gained. These gains 4-14% during the early trading session.

Shares of Vedanta fell by a huge 18% as investor's turned cautious after the company announced its Q3FY19 results.

The Sensex closed up by 1.87% at 36,256.69, in its maximum gain on a daily basis since October 29, 2018 on Thursday, while the Nifty ended 1.68 percent higher at 10,830.95.

Meanwhile all eyes are on the Interim Budget due to be announced by Interim Finance Ministry at 11:00 am.

On the previous 5 budgets announced by the NDA led Modi government, the first one presented in 2014, Sensex has returned negative returns in 3 of the budget sessions. Announcement of the budget is the most followed event in the Indian economy.

Meanwhile Rupee opens at 71.10 against the US dollar.

GoodReturns.in