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Sensex reclaims 40,000-mark as countdown to Budget 2019 begins, Nifty inches to 12,000 mark; HUL, L&T, HDFC among major gainers

FP Staff

Sensex crossed the 40,000 mark in early trade at 40,006.26 on Friday, with investors awaiting details from the Union Budget due at 11 am today.

The NSE Nifty inched closer to 12,000 level ahead of the Union Budget presentation.

The 30-share index was trading 114.67 points, or 0.29 percent, higher at 40,022.73 at 0930 hours. Similarly, the broader Nifty was quoting 31.85 points, or 0.27 percent, up at 11,978.60.

Finance Minister Nirmala Sitharaman is scheduled to present the new government's first budget since winning a second term at 11 am. She is expected to boost spending while allowing for the fiscal deficit target to rise.

"The market is eagerly looking forward to the budget proposals, especially for those things that matter for speedy recovery or revival in growth and employment," said K Joseph Thomas - Head of Research, Emkay Wealth Management.

Response from the market would depend to a large extent on the measures to enhance agrarian employment and productivity, and thereby demand, he said, adding that the fiscal deficit level and the glide path are also important as the markets have a dislike for major deviation from the direction set.

On the currency front, the rupee depreciated 16 paise to 68.66 against the US dollar.

Top gainers in the Sensex pack in early trade included IndusInd Bank, L&T, HUL, Kotak Bank, HDFC, Asian Paints, Bajaj Auto and RIL, rising up to 1.14 per cent.

On the other hand, Yes Bank, ONGC, Vedanta, NTPC, Tata Motors, Hero MotoCorp, ITC, Bharti Airtel and TCS were among the losers, shedding up to 1.82 per cent.

In the previous session, the BSE gauge settled 68.81 points, or 0.17 per cent, higher at 39,908.06, while the Nifty climbed 30 points, or 0.25 per cent, to 11,946.75.

On a net basis, foreign institutional investors sold equities worth Rs 28.95 crore, while domestic institutional investors purchased shares to the tune of Rs 58.59 crore, provisional data available with stock exchanges showed Thursday.

Hindustan Unilever was among top gainers with 1.20 percent at Rs 1812; L&T was 0.97 percent up at Rs 1587; HDFC up 0.80 percent at Rs 2299. Yes Bank was down 3.74 percent at Rs 92.65, ONG was 2.03 percent down at Rs 163.70 were among major losers at 9.50 am.

(With agency inputs)

Follow full coverage of Union Budget 2019-20 here

Also See: Budget 2019: Sensex gives up gains, falls over 150 points; Yes Bank, ONGC, Tata Motors among top losers

Budget 2019: Finance Minister Nirmala Sitharaman's maiden budget seeks to get growth back up

Budget 2019: What does the Budget presentation speech contain?

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