Equity markets cheered the Union Budget for the financial year 2021-’22 as the 30-share BSE Sensex gained 2,314.84 points to close at 48,600.61. The broader 50-share NSE Nifty was also gained 4.74% to finish the day’s trading at 14,281.20.
Investors earned Rs 4.3 lakh crore worth of gains during the two hours of Finance Minister Nirmala Sitharaman’s speech, according to Economic Times.
All sectoral indices, with the exception of Nifty Pharma, closed in the green. Bank and financial institutions’ stocks rose the most, with PSU Bank, private bank and financial services’ sub-indices surging between 7.5% to 8%. The uptick in these stocks can be attributed to the announcement of a proverbial “bad bank” by Finance Minister Nirmala Sitharaman, as the Budget proposed setting up of an asset management company for stressed accounts.
The Nifty Auto index was also up 4.23%, riding on the Budget announcement of a scrappage policy of old vehicles.
ICICI Bank, IndusInd Bank, State Bank of India and Mahindra & Mahindra were among the top gainers, while Dr Reddy’s, TechMahindra and Hindustan Unilever faced losses.