Sensex Rises 1,921.15 Points, Which Comes In The Form Of Corporate Tax To Revive Government’s Tax Hike

TPI Staff September 20, 2019

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Mumbai: After Union Minister Nirmala Sitharaman announced the reduction of corporate tax for domestic companies, it had a major impact on the stock market.

The Sensex rose 1,921.15 points to end at 38,014.62 due to the positive note closing in the week. This is the highest level recorded since 22 July. The Nifty also rose 569.40 points to close at 11,274.20. This is the highest since 26 July.

All sectoral indices, except Nifty IT, were green with Nifty Auto at 9.9 per cent, Private Bank 8.2 per cent, Financial Services 7.2 per cent and Metal 5.6 per cent at the time of closing in the NSE.

Eicher Motors Auto shares rose 13.3 per cent to Rs 17,860 per share, Hero MotoCorp rose 12.3 per cent, Maruti Suzuki 10.5 per cent and Mahindra & Mahindra by 9.1 per cent.

As per the end of the day report, private lender IndusInd Bank closed up by 10.9 per cent, Bajaj Finance 10.6 per cent and State Bank of India by 10.1 per cent, while ICICI Bank closed up 2.4 per cent. Other gains were from UltraTech Cement, Britannia and Titan, each with gains of over 9 per cent.

However, IT stocks were not so positive with Tata Consultancy Services, Tech Mahindra and Infosys looking in the red. The development has been seen by the Narendra Modi-led central government after several measures to revive the ailing economy.

Gross domestic product (GDP) grew by 5 per cent in the April-June quarter to 8 per cent in the same quarter of 2018-19 due to sluggishness in manufacturing, muted auto sales and construction activity.

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