The Indian stock market wrapped up Thursday’s session on a positive note, supported by the government’s sweeping overhaul of the Goods and Services Tax (GST).
The Sensex closed at 80,684.19, up 0.14 while the Nifty ended at 80,684.19, up 0.08%. The Nifty Bank settled at 54,075, up by 0.01%.
Although indices surged to fresh intraday highs earlier in the day, both Sensex and Nifty pared gains later, with the Sensex slipping over 600 points from its peak and Nifty falling below the 24,850 mark.
Let’s take a look at the key highlights of today’s trade –
GST cuts spark broad-based rally
The GST Council’s decision to trim levies on everyday essentials from packaged foods like roti and paratha to household items such as hair oil, ice creams, and TVs set the tone for the day. Another major reform was the complete removal of GST on life and health insurance, making policies cheaper for consumers.
This move triggered strong buying across auto, FMCG, and consumer durables.
Top movers: Autos and Financials shine
Among Sensex companies, Mahindra & Mahindra emerged as the star performer, surging more than 7% in intraday trade. Financials also had a good outing, with Bajaj Finance and Bajaj Finserv among the top gainers. ITC, Tata Motors, and UltraTech Cement also contributed to the rally.
Market watchers said the auto sector, in particular, is poised to benefit from lower taxes on small cars and entry-level SUVs, while FMCG players could see higher consumption as household goods get cheaper.
Pockets of weakness: IT and defence stocks slip
Despite the overall upbeat mood, not all sectors joined the rally. Shares of Maruti Suzuki, Bharat Electronics, HCL Tech, NTPC, and Infosys ended lower, dragging down the IT and defence indices.
Top sectors in today’s trade
In today’s trade, leather stocks emerged as the standout performers with gains of over 3%, while food processing companies also saw a solid move higher by more than 2%. Paper counters advanced close to 2%, and electronics stocks added nearly 1.5%.
Best and worst performing business group
Among business groups, Emami Group led the rally with gains of over 4%, followed closely by Mahindra Group, which advanced nearly 4%. Apollo Hospitals Group added more than 2%, while Bajaj Group rose close to 2%. On the flip side, Essar Group and Ruchi Group both slipped over 3%, and Pennar Group saw the sharpest decline of nearly 4%.