Sensex posts biggest single day gain in over 7 years

Sensex jumps 777 points post budget day

The rupee on Tuesday logged this year’s biggest single day gain of 57 paise to close at a nearly three-week high of 67.85 against the American currency on fresh selling of dollars by banks and exporters in view of sharp recovery in the domestic equity market.

Weakness of dollar in the overseas market also boosted the rupee value against the dollar, a forex dealer said.

The rupee resumed higher at 68.27 from yesterday’s closing level of 68.42 at the Interbank Foreign Exchange Market (Forex) here today and shot up further to close at 67.85 on sustained selling of dollars, disclosing a gain of 57 paise or 0.83 percent.

Today’s gain of is the biggest single-day rise since May 18, 2009 when the 30-share barometer had jumped 2,110.79 points.

The gauge had lost 152.30 points in yesterday’s highly volatile session, mainly hit by a proposal for a higher dividend distribution tax on those earning more and a one on raising securities transaction tax on options trading.

The NSE Nifty at the close was up 235.25 points, or 3.37 per cent, at 7,222.30.

The rupee, at 67.95, was on a higher ground against the dollar (intra-day), which was lapped up by market participants.