Nifty ends on Friday at record close for 2nd straight session, up 2.5% for the week
Broader market underperformed the frontline indices with BSE Midcap down 0.14% and BSE Smallcap up 0.04%.
The Nifty has gained 2.5% so far this week, while the Sensex has climbed 2.85%, in what is their highest weekly gain since the end of January.
The index hit an all-time high after the GST council yesterday cleared five draft bills, setting the stage for implementing the landmark tax reform by July 01. These will later be submitted to the parliament and state assemblies for approval.
Market sentiment was also bolstered as PM Narendra Modi’s Bharatiya Janata Party (BJP) won the key state elections in Uttar Pradesh, and after the US Federal Reserve stuck to its planned tightening pace this year.
The BSE FMCG index settled 2.4% after cigarette maker ITC rose over 7% at intra-day after the GST Council capped the cess on tobacco and cigarettes at 290% or Rs 4,170 per 1,000 cigarette sticks. ITC ended 4.6% higher.
Other cigarette stocks such as Godfrey Phillips, VST Industries and Golden Tobacco gained today on the BSE.
Capital goods, Auto, Bankex, telecom indices were trading in red during the afternoon deal. Bharti Airtel, SBI, L&T and Tata Motors were the biggest laggards on BSE Sensex.
Telecom index was the top sectoral loser, down 2.7% with Bharti Airtel dragging the index. The stock settled the day over 4% lower after the company said its shareholders have approved a proposal to raise up to Rs 10,000 crore in debt.