Sensex Jumps 2,315 Points, Nifty Ends Above 14,250

Indian shares soared on Monday as investors reacted positively to the announcements by Finance Minister Nirmala Sithraman in Union Budget 2021.

Finance Minister Nirmala Sitharaman announced various schemes across the healthcare, auto and infrastructure and agriculture sectors in her speech.

The 30-share BSE Sensex surged as much as 2,314.84 points, or 5 percent, to 48,600.61 as the Finance Minister unveiled various proposals in the budget to shore up an economy badly-hit by the coronavirus pandemic.

The broader NSE Nifty index jumped 646.60 points, or 4.74 percent, to 14,281.20.

This is the fourth time in last 10 years that the markets have been in positive territory after the budget proposals.

Larsen & Toubro, SBI, Bajaj FinServ, ICICI Bank and IndusInd Bank were among the top gainers in the Nifty pack, with gains ranging between 9 percent and 15 percent.

The government proposed to raise capital expenditure for FY2021-22 by 34.5 percent in a bid to bring the economy back on track.

Foreign direct investment limit for the insurance sector has been raised to 74 percent from 49 percent earlier.

There was no tinkering in capital gains taxes or STT or any form of COVID tax. Also, there were no changes in direct taxes.

The government plans to sell stake in at least two public sector banks as part of its privatization plan in the next financial year.