How a 14-month record was broken today at the Sensex
New Delhi: Based on the recent impetus of the FDI reforms in the country, the markets reacted all the more positively, by breaking 14-month old records to gain 404 points in the trading day. With the government standing firm on its decision to go on with the economic reforms, the markets reacted very positively to end at 18,752.83, a gain of 2.2% over the last closing.
The NSE Nifty also posted substantial gains, as it ended the day at 5,691.15, which was a gain of 2.46% over the last trading. With the government holding its ground, it seems that corporate India is deciding to stand by it, as major fortune changes are expected in the retail, aviation, and broadcasting sectors, where these reforms have been allowed.
What is further garnering fan following within the markets, is the decision to reduce the withholding tax levied on those corporate who take credit from outside the country. This spelt for a new era of reforms that might actually help businesses grow and sustain better.
Also, earlier there were questions about whether the UPA government at the center would turn minorities in the parliament, but Mulayam Singh Yadhav's external support assured that there will be no politically volatile situation awaiting the country. That would mean that some more big ticket reforms could be on their way, while Congress led UPA-2 government takes care of the current situation