The equity markets started the Budget week on a strong note, with the Nifty-50 sailing past the psychologically important 17,000-mark. The markets reacted positively to projections on growth for the current and next fiscals in the Economic Survey. The real GDP growth for FY22 is pegged at 9.2%, according to advance estimates, while the Survey estimates it to expand between 8% and 8.5% in FY23.
The Sensex rallied more than 1000 points intra-day and the Nifty-50 crossed 17,400 levels. The upside in the markets was on expected lines after being in an oversold situation due to broad-based selling in the previous week, said market watchers.
While the Sensex settled 813.94 points or 1.4% higher at 58,014.17, the Nifty ended at 17,339.85, up 237.90 points or 1.3%. The broader market performed in line with the benchmarks and rose 1%. All the sectoral indices ended in the green, with realty gaining more than 3%, while IT, PSU Bank and Consumer Durables rose more than 2%. The BSE mid-cap and small-cap indices closed higher by 1.7% and 0.9%, respectively.
Shrikant Chouhan, head of equity research (retail), Kotak Securities, said: “As the markets were in an oversold position, today’s sharp bounce back was on expected lines ahead of the Union Budget announcement. The upward bias was also supported by firm global cues and the Economic Survey…”
Tech Mahindra was the top gainer in the Sensex pack, gaining 4.8%, followed by Wipro, Bajaj Finserv, Infosys and SBI. IndusInd Bank, Kotak Mahindra Bank and HUL ended among the top losers.
Amid expectations of volatility on the Budget day, the 17,000-level for the Nifty-50 will remain the key support for the further rally, said analysts.
Financial Express is now on Telegram. 
