Market adds smart gains for second week, up 358 points

Mumbai: The market gained for second consecutive week, lifted by budget announcement, as the benchmark Sensex added 358.06 points to mark four month highs at 28,240.52 and the broader Nifty closed well above the key 8,700-level.

After seeing some weakness in early part of the week due to caution on lower economic survey projection ahead of Union-Budget, H1-B visa quagmire by US president Donald Trump pressuring IT stocks, the market dealt the let-down with a smart-rally on the Budget day with vengeance.

Clear-cut market-friendly budget proposals charmed the investors sentiment leading the key indices to leap four month highs, focus on fiscal discipline, tax balm for investors including clarity on FPI taxation, massive capital infusion for Public sector banks, Infrastructure, agriculture sector resonated the stock momentum.

Also rebound in manufacturing PMI, unchanged US Fed policy statement, Rupee surge, good FII buying supported the market, before weekend trade witnessed a break from rally ahead of key RBI policy meet next week.

The Sensex climbed 358.06 points or 1.28 per cent to settle at 28,240.52. It hovered between 28,299.92 and 27,590.10 during the week. The Sensex garnered 847.96 points 3.14 per cent last week.

The NSE Nifty 50 index also rose by 99.70 points or 1.15 per cent to settle at 8,740.95. it moved in a range of 8,757.60 and 8,537.50. The Nifty also gained 291.90 points or 3.50 per cent previous week.

Buying was led by Realty, Capitalgoods, FMCG, Banks, IPOs, HealthCare, PSUs, Consumer Durables and Metals, while the broader midcap and smallcap shares outperformed the headline indices. Selling was witnessed in IT, Power, Auto, Teck and Oil&Gas counters.