Closing Bell: Sensex Jumps 848 Points, Nifty Settles Above 17,500 On Budget Day

Tata Steel was the top gainer in the Sensex pack, surging 7.57 per cent. Sun Pharma, IndusInd Bank, L&T, UltraCement, ITC, and HCL Tech are the other prominent gainers

In the broader market, the BSE Midcap index closed with a gain of 1 per cent while the BSE Smallcap index ended 0.9 per cent up. Image: Getty

New Delhi: The key equity benchmarks, Sensex and Nifty, ended Tuesday’s trade on a positive note, thanks to the investors who have given thumbs up to the Union Budget.

The BSE Sensex jumped over 848 points on Tuesday, tracking heavy buying in metal and capital goods stocks, as investors cheered the big infrastructure boost provided in the Budget presented by Finance Minister Nirmala Sitharaman.

Apart from the Budget, firm global cues have also supported the rally in domestic equities.

After touching an intra-day high of 59,032, the 30-share BSE index closed 848.40 points higher at 58,862.57. The NSE Nifty jumped 237 points to end at 17,576.

Tata Steel was the top gainer in the Sensex pack, surging 7.57 per cent. Sun Pharma, IndusInd Bank, L&T, UltraCement, ITC, and HCL Tech are the other prominent gainers.

On the flip side, M&M, PowerGrid, SBI, Bharti Airtel, NTPC, Maruti, and Reliance closed in the red.

In the broader market, the BSE Midcap index closed with a gain of 1 per cent while the BSE Smallcap index ended 0.9 per cent up. Volatility index, India VIX, cooled off 9 per cent to end below the 20-mark.

Sitharaman on Tuesday presented Rs 39.45-lakh crore Budget, with higher spending on highways to affordable housing with a view to fire up the key engines of the economy to sustain a world-beating recovery from the pandemic.

The Budget for FY22-23 proposed a massive 35 per cent jump in capital expenditure (capex) to Rs 7.5 lakh crore, coupled with the rationalisation of customs duty, an extension of time for setting up new manufacturing companies, and plans for starting a digital currency and tax crypto assets.

“The Budget of 2022 is very balanced and continues the incremental growth-oriented approach of the last budget. In this budget, the finance minister provided a springboard for an investment cycle with the highest ever share of capex, focus on the development of national manufacturing capabilities and clean energy, tax rationalisation with no new taxes while maintaining its continuous growth focus on Aatmanirbhar Bharat,” Ashishkumar Chauhan, MD and CEO, BSE, said.

According to PTI, Dhiraj Relli, MD & CEO, HDFC Securities said the Budget is growth-inducing and does the heavy lifting by sharply increasing capital expenditure.

Elsewhere in Asia, bourses in Hong Kong and Tokyo finished with gains. Markets in China and South Korea were closed for a holiday.

Stock exchanges in Europe were trading on a firm note in mid-session deals.

Meanwhile, international oil benchmark Brent crude slipped 0.24 per cent to $89.05 per barrel.

Foreign institutional investors (FIIs) remained net sellers in the capital markets, pulling out Rs 3,624.48 crore Monday, according to provisional data.