Nifty cross 8700 mark on the Budget day; Auto stocks lead

It was for the first time after Union Budget 2005 that the Indian benchmark indices have surged more than 1.7% on the day of budget. Nifty closed above 8700 mark for the first time since 24th of October 2016.

Nifty closed at 8713 levels while Sensex hit 28000 mark and closed at 28140 gaining 484 points from the previous close.

Broader markets too remained in line and zoomed 1.66%. Market bias remained highly positive with 1920 advances and 901 declines.
 

Realty sector pulled the markets up gaining almost 5% with Oberoi Realty, DLF and HDIL surging 6% plus.

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Nifty Bank closed above 20000 levels for the first time since November 10, 2016. Auto and Banking majors viz., Bosch, Maruti Suzuki, Bank of Baroda, Eicher Motors and ICICI Bank were the top gainers for the Nifty.
 
Maruti, Hindalco, IndusInd Bank and ITC closed above their respective 52-W highs.

Going forward we hold 8737-8745 as the immediate resistances followed by 8810 as the crucial resistance. On the downside if Nifty retreats due to profit booking we hold 8670-8600 as the supports for the Nifty.

Nifty recovers and hits 8665; capital gains tax kept intact

  The Indian stock markets recovered from their lows at the end of the Union Budget announcement, after Arun Jaitley announced that the capital gains tax rate remains unaltered, and the holding period for short term capital gains also remains unchanged.

Nifty hit low of 8537 and then recovered to trade above the 8600 mark at 8665 levels; whereas Sensex gained 308 points or 1.1%, standing at 27965 levels

Budget 2017: FM increases allocation to Defence sector

The Finance Minister has increased the amount bailed out, allocating Rs 2,74,114 crore to the Defence sector, which is excluding pension. Out of the total capital allocated, Rs 86,000 crore has been dedicated to defence capital.

The Centre has also developed a defence travel system through which the soldiers can book tickets. A web based system for the defence pensioners has also been developed.

The Defence sector is of prime importance to any nation, and our country, India, currently ranks 4^th in the world according to the expenditure made in the sector.

Reacting to the news, BEL and Astra Microwave are trading up with the gains of 1.66% and 0.93% respectively.