P. Chidambaram's Budget 2014 welcomed by markets on Day 2 too, BSE Sensex continues to advance

Written by fe Bureau | Mumbai | Updated: Feb 18 2014, 17:35pm hrs
STockFM P. Chidambaram's Budget 2014 continues to power markets with BSE Sensex gaining 0.7%.
FM P. Chidambaram's Budget 2014 continues to power Indian stock markets with BSE Sensex gaining 0.7% on Tuesday, extending gains after the finance minister on Monday said that the fiscal deficit will be contained at 4.6% of GDP in FY14.

The BSE Sensex was trading 136.09 points higher at 20,600.15 points at 11.00 am IST, while the NSE Niftywas trading 42.70 points higher at 6,116 points.

On Monday, while unveiling the interim budget finance minister P. Chidambaram announced a number of pro-industry measures including excise duty cuts on vehicles, capital goods products and mobile handsets.

Among sectoral indices, the BSE Bankex gained 2.10%, BSE Capital Goods (0.59%) and BSE Metal (0.87%) were among the major gainers on Tuesday. Among individual stocks, Housing Development Finance Corporation (2.70%), ICICI Bank(2.66%), Axis Bank (1.96%) and State Bank of India(1.93%) were the major gainers.

Asian markets showed a mixed trend. The Nikkei was trading 3.29% higher as the Bank of Japan decided to continue with its stimulus package on Tuesday. The Hang Seng (0.01%), KOSPI (0.02%) and Jakarta Composite (0.14%) were trading in the green. The Shanghai Composite (-0.68%) was trading in the red.

Experts expect markets to remain range-bound. Nifty may trade within a range of 6000 6150. We expect technical pullback from the current level and Nifty may touch 6100, Standard Chartered said in a note.