According to the expectation on the first trading day of the week, the Indian stock market saw a spectacular growth. Amidst the Global tension, the Sensex gained 400 points in the initial minutes of trading and crossed the 37 thousand 100 level. Likewise, if you talk about the Nifty, it has crossed 100 level by about 100 points. Shares of SBI, Bajaj Finance, HDFC, Mahindra and Yes Bank were on the green mark in early trade, while Vedanta and Tata Steel saw a decline.
However, for some time, Sensex and Nifty were seen trading in the realm. Let us know that on Friday, the Sensex gained 228.23 points or 0.63 percent to close at 37,701.48, while the Nifty gained 88 points or 0.82 percent to 10,829.
Keeping in mind the demand of foreign investors, Finance Minister Nirmala Sitharaman on Friday withdrew the surcharge imposed on Foreign portfolio investors (FPIs). This surcharge was introduced in the budget in July. Since the imposition of this surcharge, foreign investors had pulled out $ 3.4 billion, or Rs 24,500 crore, from the Indian market in July and August. Due to this, the pressure on the rupee also increased and last week it went down to 72 level against the dollar. Finance Minister Nirmala Sitharaman announced several more steps to speed up the economy. In this, apart from discounting the 'Angel Tax', the startup was announced to provide a package of relief for the auto industry facing sales crisis.
Yuan at 11-year low
Meanwhile, in addition to demonstrations against the government in Hong Kong, China's currency yuan is at its 11-year low due to increasing tension with the US. The yuan is at 7.05 per dollar in early trade on Monday. Earlier in February 2008, the yuan reached this level.
Let us tell you that the conflict between China and America is increasing due to trade war. On Friday, President Donald Trump broke out after China imposed two new tariffs on American products. He said that American will also raise taxes on products. The US president said, from October 1, the US will increase tariffs on products worth $ 250 billion from 25 percent to 30 percent.
One reason for the fall in China's yuan is the circumstances in Hong Kong. In Hong Kong, protesters have been on the streets against the government for the last three months and during this period, their protests have taken a violent stance. On Sunday, the police used water splashes on the protesters for the first time.
