Indian stock markets give thumbs up to budget, Sensex soars (Second Lead)
By IANSMonday, February 28, 2011
NEW DELHI - Indian equities markets Monday continued to rise well after Finance Minister Pranab Mukherjee presneted the general budget as investors gave their thumbs-up to decisions like allowing foreign investment in mutual funds, and raising the cap on foreign institutional investment in corporate bonds.
Mukherjee raised the limit for funds to be invested by foreign investors in the Indian infrastructure sector and also allowed mutual funds to accept foreign funds.
The 30-scrip sensitive index (Sensex) of the Bombay Stock Exchange (BSE), which opened at 17,811.08 points, shot up to 18,213.98 points, 512.97 points or 2.9 percent higher from its previous close at 17,700.91 points.
The announcement of a reduction in surcharge on corporates from 7.5 percent to 5 percent also enthused the markets.
The 50-scrip S&P CNX Nifty of the National Stock Exchange also shot up to 5,456.8 points, up 2.89 percent.
Broader markets were trading in the green with the BSE midcap index ruling 1.28 percent higher, and the BSE smallcap index trading 1.38 percent up.
