Plunging up high to the 40000 level, financial markets turn enthusiastic ahead of the Union Budget

New Delhi, July 5: With nation waiting long for the budget to unfold, the financial markets have again opened up high reaching the level highest ever since June 11. The domestic equity benchmark BSE Sensex on Friday reclaimed the 40,000 mark and the NSE Nifty inched closer to 12,000 level.

 

 

The market while eagerly looking forward to the budget proposals, especially for those things that matter for speedy recovery or revival in growth and employment, the 30-share index was trading 114.67 points higher at 40,022.73 ahead of the Union Budget presentation. Similarly, the broader Nifty was quoted 31.85 points, up at 11,978.60.

 

Response from the market however depends to a large extent on the measures to enhance agrarian employment and productivity and thereby the set demands. the fiscal deficit level and the glide path are also important as the markets have a dislike for major deviation from the direction set.

 

Finance Minister meanwhile used a ‘bahi khata’ to carry the Budget papers instead of the traditional briefcase today. Chief Economic Advisor (CEA) to the Prime Minister K V Subramanian said that it is in Indian tradition that symbolizes our departure from slavery of Western thought.