Sensex jumps 285 points on investors making big bet on biggest tax reform GST

Stocks hit the upper end of the trajectory on Monday as the Sensex jumped 285 points with a solid show from FMCG, metal and realty indices.

In the process, the 30-share Sensex and the 50-share Nifty hit almost a one-week high level.

Investors made a big bet on the biggest tax reform in independent India, the Goods and Services Tax, which came into force from July 1.

The Sensex resumed higher at 31,156.04 and read 31,206.30 at 1137 hours, a gain of 284.69 points, or 0.92 per cent.

The NSE Nifty moved higher by 84.15 points, or 0.88 per cent, to 9,605.05 at 1137 hours.

Index heavyweight and cigarette maker ITC jumped 6.08 per cent after taxation clarity on cigarettes. The Central Board of Excise and Customs (CBEC) reportedly removed excise and additional excise duty on cigarettes while the National Calamity Contingent continued to stay in force.

It was followed by M&M 1.60 per cent, Maruti 1.50 per cent and Tata Steel 1.04 per cent.

Asian stocks were mixed, tracking US markets.

Foreign portfolio investors (FPIs) sold shares worth a net Rs 160.48 crore last Friday, as per provisional data.  Domestic institutional investors (DIIs) bought shares worth a net Rs 1,195.71 crore last Friday.

Also read: Sensex moves beyond 31,000 in early trade, extends gains after GST rollout

Also read: Sensex zooms to record high 31,450 level, Nifty above 9,650 mark post strong Asian cues, oil prices recovery