Sensex up 506, Nifty close to 8,200-level Government to Stable Tax Regime

Sensex up 506, Nifty close to 8,200-level Government to Stable Tax Regime. There again rise in stock market, The BSE Sensex surged over 500 points, while the Nifty ended close to the 8,200 mark as funds and retail investors went about creating fresh positions, driven by the government’s decision to refer MAT issue to a high-level committee. The rupee also rebounded from 20-month lows and hovered around 64 per dollar. The Sensex rose above 27,000, while the Nifty jumped above the key 8,200 levels. The rebound in stock markets comes after three days of selloff in which the Sensex has shed nearly 900 points

Sensex up 506, Nifty close to 8,200-level Government to Stable Tax Regime

Sensex & nifty end up with Rise

The 30-share BSE index Sensex surged 506.28 points or 1.9 per cent to 27,105.39 and the 50-share NSE index Nifty rose 134.20 points or 1.67 per cent to 8,191.50.

Barring consumer durables, all other BSE sectoral indices ended significantly in the green. Among them, realty index gained the most by 4.06 per cent, followed by auto 2.67 per cent, banking 2.23 per cent and infrastructure 1.83 per cent, told  the hindu business line.

PNB declined nearly 7% as Q4 PAT fell 62% YoY. The PSU bank reported disappointing Q4 numbers, logging a net profit of 307 cr, down 62% on year. Showing a massive worsening of asset quality, the bank’s net non-performing asset rose to 4.06%, as against 3.82% a year ago.

Here are the latest developments:

1) The rebound is being attributed to short covering, a strategy where traders buy stocks to cover open short position. Short covering happens after every major selloff.

2) Other factors that are helping sentiments include Finance Minister Arun Jaitley’s announcement to form a panel that will suggest ways to resolve the Minimum Alternate Tax dispute. (Read)

3) Gains across global markets and a 3 per cent drop in crude oil prices led to a positive impact on domestic markets, traders said.

4) The rupee rebounded from 20-month lows, pulling back below the key 64 per dollar mark in morning trade.

5) So, is the selling finally over? That will depend on fund flows, traders said. Foreign investors have been selling domestic equities aggressively, primarily because of concerns about tax demands on capital gains made during previous years. If selling by foreign funds subsides, markets are likely to stabilize in the near term, analysts say.

6) On Thursday, FIIs sold cash shares worth Rs 1,361 crore. Over the last 15 sessions, they have sold shares worth over $2 billion or nearly Rs 14,000 crore.

7) Corporate earnings will also play a major role in market recovery. Analysts say until corporate profitability improves, a sharp rise in equities is unlikely. On Thursday, two-wheeler major Hero MotoCorp and jewellery maker Titan posted disappointing results for the March quarter.

8) The sharp selloff in stock markets has damaged confidence of retail investors, analysts say. Market expert Ambaressh Baliga told NDTV that earlier dips were bought in to, but now a lot of investors are waiting on the sidelines despite a sharp correction. He expects the Nifty to consolidate around 8,000.

9) Technical analysts such as Ruchit Jain of Angel Broking told NDTV that a rebound to 8,300-8,320 is likely, but markets are likely to correct after the pullback.

10) Investors will also be eyeing the reform process, which seems to have hit a dead end. The GST Bill will likely be taken up in the Rajya Sabha on Monday, where the government is in a minority.

Source : lawlines

We Hope you loved this article Sensex up 506, Nifty close to 8,200-level Government to Stable Tax Regime and the data provided above too. Thanks for visiting us and do provide your comments and reviews below. Don’t forget to share this song with your near dears on social media sites such as facebook, twitter, tumblr, pinterest, digg, google plus, linkedin, stumbleupon, etc etc and stay tuned to us to get more updates regarding this movie and any other trending news.