Live
- 13 criminals from two gangs arrested in Jharkhand's Ramgarh for extortion
- Union Minister Bandi Sanjay Visits Injured Boy Sritej at KIMS Hospital
- Construction of over 1,000 bridges underway in Assam: CM Sarma
- Telangana IAS Officers wives association meets president Droupadi Murmu
- Nara Devaansh Sets World Record with Checkmate Marathon
- India set to become developed nation by 2047: Haryana CM
- Allu Arjun’s house attacked by protesters demanding compensation for the stampede victim
- Several Gulf countries impose visa ban on Pakistanis over their involvement in crime, fraud and begging
- Public outrage in Jharkhand's Giridih over murder, police station gheraoed
- Santosh Trophy: Meghalaya edge Goa 1-0 to secure QF berth
FPI surcharge removal, stimulus steps, oil prices set to boost equities
The stock markets may see a relief rally this week after the government removed enhanced surcharge on FPIs and also unveiled various measures to jumpstart growth, analysts said.
New Delhi: The stock markets may see a relief rally this week after the government removed enhanced surcharge on FPIs and also unveiled various measures to jumpstart growth, analysts said.
Giving in to the demands of overseas investors, Finance Minister Nirmala Sitharaman on Friday announced rollback of enhanced surcharge on foreign portfolio investors levied in the Budget.
The Budget proposal to hike surcharge on FPIs had spooked foreign investors, who withdrew more than $3.4 billion (Rs 24,500 crore) from domestic equities in July and August.
The massive capital outflows also put pressure on the rupee, which slumped to 72-level against the $ last week. "Withdrawal of enhanced surcharge on FPI is a big positive for Indian markets as it could reverse the outflows seen since post Budget.
It should also help INR appreciation. Overall, a good sentiment booster for the Indian economy," said Rusmik Oza, Head of Fundamental Research, Kotak Securities.
The Centre also announced a raft of measures to revive growth momentum, including exempting startups from 'angel tax', a package to address distress in the auto sector and upfront infusion of Rs 70,000 crore into public sector banks.
"Withdrawal of the surcharge on FPIs is a shot in the arm for the sagging market. One can now expect reversal of the FPI selling.
The market is likely to look up from now on," VK Vijayakumar, Chief Investment Strategist, Geojit Financial Services said.
