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Sensex Hits Record Close Of 36,718, Nifty Ends At 6-Month High
23 Jul 2018, 05:12 PM IST 
Share Market Update: Thirty four stocks on the Nifty 50 finished the session with gains
- The latest move by the GST Council will lead to lower taxes on more than 100 items, such as paints, leather goods, televisions, washing machines, refrigerators. The revised tax rates will come into effect from July 27. The relief for consumers in the form of lower taxes under GST supported investor sentiment, say analysts.
- The Nifty FMCG index, the NSE's sectoral index comprising consumer goods stocks, rose 2.5 per cent. Besides ITC and HUL, Godrej Industries, Tata Global, Emami and Britannia finished the day with gains of around 1-2 per cent each. Asian Paints and Akzo Nobel finished 2.7 and 1.5 per cent higher respectively. The GST Council moved paints and varnishes from the 28 per cent tax slab to 18 per cent.
- AK Prabhakar, head of research at IDBI Capital, attributed the advances in the markets to the winning of no-confidence motion by the government and the latest action by the GST Council.
- The government won the no-confidence vote in Parliament on Friday.
- “The winning of no-confidence motion gives the government a very good grip on its chances in 2019 and takes out uncertainty,” he said.
- Footwear retailer Bata India last Friday reported a 37 per cent year-on-year rise in net profit to Rs 82.6 crore over sales of Rs. 797.3 crore for the April-June period. The company, however, said the results were not comparable to the previous period because of introduction of GST from July 2017. Bata India shares ended around 7.5 per cent higher on Monday.
- Bank of Baroda rose 5 per cent, PNB 4 per cent, Carara Bank 3.8 per cent, leading the pack of state-run banking stocks on the NSE. SBI rose nearly 2 per cent.
- Other prominent gainers included metal stocks. Vedanta, Hindustan Copper, Tata Steel and Jindal Steel - surging between 2 per cent and 4 per cent each - pushed the Nifty Metal index 1.5 higher.
- UPL gained after the agrochemicals company said on Friday that it would buy a unit of Platform Specialty Products, Arysta LifeScience, for $4.2 billion.
- Meanwhile, foreign portfolio investors (FPIs) net purchased shares worth Rs 310.27 crore while domestic institutional investors net sold equities to the tune of Rs 50.73 crore on Friday, according to provisional data from the NSE. (With agency inputs)