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Updated: Tue, May 15 2007. 03 32 PM IST
Mumbai: Bombay Stock Exchange’s benchmark Sensex bounced back by over 131 points in late morning trade on 15 May on renewed buying by funds, triggered by a report that GST rate would be around 14%.
The 30-share index, which had lost over 256 points in the previous session on 11 May, rose by 131.40 points to 15,387.28, with all the sectoral indices led by metals and banking, trading in positive terrain.
The wide-based National Stock Exchange’s Nifty was up by 40.15 points to 4,566.85.
Brokers said the market sentiment turned bullish on reports that the Goods and Services Tax (GST) rate could be around 14%.
They said the GST rate of 14%, if implemented, would be beneficial for the economy and the corporate sector, as it would enable companies to reduce their tax burden.
The market was also boosted by reports that the government will soon announce a new foreign direct investment (FDI) policy, they added.
Among the major gainers were Tata Steel, up by 4.05% at Rs 727.95, State Bank of India, up by 1.22% at Rs 1573.90, ICICI Bank, up by 1.4% at Rs 878.30 and Reliance Energy, up by 1.22% at Rs 1439.45.
However, Maruti Udyog declined by 1.06% at Rs 522.30.
The trading turnover on BSE was Rs 1,306.51 crore.
The market breadth was strong with gainers outnumbering losers in the ratio of 1790 to 845.