Sensex jumps 1,197 points as investors hope for economic resurgence

The bourses continued celebrating Union Budget 2021 with key equity indices moving up by 2.5 per cent on Tuesday.

Investors were relieved that the government stayed away from making any change in personal and corporate tax, and there was no levy of wealth tax, super-rich tax or Covid cess which was widely feared.

The BSE S&P Sensex closed 1,197 points or 2.46 per cent at 49,798 while the Nifty 50 edged higher by 367 points or 2.57 per cent to 14,648.

All sectoral indices at the National Stock Exchange were in the positive zone with Nifty auto ticking up by 4 per cent, PSU bank by 3.4 per cent, private bank by 3 per cent, realty by 3.8 per cent and pharma by 2.1 per cent.

Among stocks, Tata Motors accelerated by 17 per cent to Rs 326.95 per share after the company reported 94 per cent year-on-year growth in domestic passenger vehicles sales at 26,978 units during January.

Cement majors gained substantially as the Budget provided for a strong push towards infrastructure with Shree Cement up by 7.7 per cent, UltraTech Cement by 6.9 per cent and Grasim by 5.7 per cent.

The other major gainers were State Bank of India, HDFC Bank, Larsen & Toubro, Hindalco, UPL and Bharat Petroleum Corporation.

However, those which lost were HDFC Life, SBI Life, Bajaj Finserv, Hero MotoCorp, Titan, Hindustan Lever and Britannia.

Meanwhile, Asian stock markets extended gains on increased optimism about stimulus packages and global economic recovery.

Hong Kong's Hang Seng Index climbed by 1.23 per cent on sustained mainland demand while Japan's Nikkei 225 gained by 0.97 per cent.

South Korea's Kospi added 1.32 per cent as the country's ruling party readies another round of Covid-19 cash handouts and an extra budget.

( With inputs from ANI )

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