Sensex crosses 27,000-mark, Nifty rises after seventh pay commission announcement
Analysts said the Cabinet's approval to the Model Shop & Establishment Act also made investors optimistic.
The Bombay Stock Exchange Sensex rose by more than 250 points and crossed the 27,000 mark, while Nifty veered close to the 8,300-mark on Thursday. At 3 pm, Sensex was at 27,028, while Nifty was at 8,289.85.
According to market analysts, the surge took place because the Seventh Pay Commission recommendations and the Model Shop & Establishment Act got the Cabinet's approval on Wednesday. Moreover, short-term fears have eased since international markets crashed when the United Kingdom voted to leave the European Union on June 23.
The Rupee was trading 10 paise higher at 67.58 against the dollar, an upward trend that experts said is likely to stay. Globally, Japan’s Nikkei climbed 0.82% while Hong Kong’s Hang Seng rose 1.73%.
Nifty is likely to rise by another 100 basis points if the monsoon is above average and if the Goods and Services Tax Bill gets passed, reported Moneycontrol.