Snapping its four-day losing streak, the BSE benchmark Sensex on Tuesday rebounded 473 points amid firm global trend and a proposal to cut the Securities Transaction Tax (STT).
The Sensex, which had lost 1,050 points in last four trading sessions, bounced back 472.93 points to 16,524.03 as investors pinned hopes on renewed efforts by European policymakers to find a way to cut Greece’s debt.
Market sentiment also improved on reports that the government is considering some tax cuts on securities transactions, and fresh inflow of foreign funds.
The broad-based NSE index Nifty rose 135.65 points to 4,971.25 led by stocks of realty, IT and refinery sectors.
Barring Cipla, all 30 Sensex stocks closed with small to handsome gains. The Sensex dropped 20 per cent this year on concern of Europe’s debt crisis and slowing economic growth in the U.S. might worsen.
The two heaviest on the benchmark, with 20 per cent weight — Reliance Industries and Infosys — ended with notable gains. RIL spurted 5.09 per cent and Infosys by 3.86 per cent.
Tata Motors also rose 5.92 per cent.