Sensex puts on 262 points during the week

Mumbai, Nov 7 : The Centre's decision on disinvestment in PSUs and simplifying tax structure boosted the Sensex by 262 points, or 1.65 per cent, at 16,158.28 level during the week.

The Nifty of National Stock Exchange also advanced by 84.45 points, or 1.79 per cent, at 4,796.15 during week ended Friday.

Taking off from the recent weakness, the markets began the week on a leak note, as Sensex plunged by 491 points on Tuesday (Monday was a holiday on account of Guru Nanak Jayanti), but rebounded by 507 points on Wednesday on the back of a short-covering rally in the index heavy-weights, a leading broker said.

Continuing the pattern of alternate bouts of buying and selling, the markets again bore a hammering on Thursday morning. However, the bourses changed their track after the government announced its plan to simplify the tax structure by implementing the new tax code next year and disinvestment programme, whereby profitable unlisted PSUs would have to tap the primary markets and their listed publicly owned counterparts would have to ensure public shareholding of at least 10 per cent. This acted as a tonic for the Sensex, which recovered by around 500 points from their intra-day lows to end up 151.77 points and continued the good work on the last trading day of the week.

--UNI

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