On February 1, Union Finance Minister Nirmala Sitharaman presented the General Budget for FY 2021-22 in Parliament, which was overwhelmingly welcomed by the stock market. A day after the general budget, on Tuesday, the market saw a strong boom. The Sensex touched the 50,000 level during trading. This is the second time the Sensex has crossed the 50 thousand mark. However, in the end, the Bombay Stock Exchange’s major index Sensex ended 1197.11 points, or 2.46 percent, at 49797.72. At the same time, the National Stock Exchange’s Nifty gained 366.65 points (2.57 percent) to close at 14647.85. The Sensex has gained 3,511 points in two days.
Economists and market analysts believe the budget presented on Monday is a bold and growth-oriented budget. The market has also considered the proposal of privatization of two state-run banks and monetization of assets like land.
Banking stocks rise
The government has announced a bad bank to deal with bad debts (NPA). Under this, all NPAs will be brought in one place. Because this will facilitate NPA resolution. In addition to this, a proposal was made to privatize two state-owned banks besides IDBI and General Insurance Company. However, not much information was given on this. Recapitalization of Rs 200 billion was announced in FY 2021-22 to help capitalization of public sector banks. This has led to a spurt in shares of public sector banks.
Such was the situation of veteran shares
Talking about the big stocks, today the shares of Tata Motors, Shree Cement, UltraTech Cement, SBI, and UPL closed on the green mark. HDFC Life, Hero MotoCorp, Bajaj Finserv, Hindustan Unilever, and SBI Life closed at the red mark.
Sectoral index tracking
If we look at the sectoral index, then all the sectors closed on the green mark today. These include banks, private banks, PSU banks, realty, pharma, metals, FMCG, financial services, auto, IT, and media.
HDFC Limited net profit of Rs 5,724 crore
HDFC Ltd reported on Tuesday that its cumulative net profit in the third quarter of FY 2020-21 increased to Rs 5,724.23 crore, from Rs 4,196.48 crore in the year-ago period. HDFC Limited told the stock market that its cumulative total income during this period increased to Rs 39,267.59 crore, from Rs 29,073.19 crore in the same period of 2019-20.
The corporation, however, said that these figures of profit cannot be compared to the same period of last year due to the lockdown applied due to the epidemic. The statement said that the merger of Bandhan Bank and Gruh Finance is effective from October 17, 2019. HDFC reported that there was strong growth in the personal business during the quarter ended 31 December 2020.
The market was open on the edge
Today, the Sensex opened 751.66 points (1.55 percent) at 49452.27 in early trade. At the same time, the Nifty opened at the level of 14480.60 with a gain of 199.40 points i.e. 1.40 percent.
The market was closed on Monday on a strong note
On Monday, the Sensex closed at the 48600 levels with a strong gain of 2314.84 points, or five percent. The Nifty closed at 14281.20 with a gain of 646.60 points (4.74 percent).