Mumbai, June 30: The BSE Sensex today gained 314 points and notched up its best quarterly gain in almost five years, fuelling speculations of a pre-budget rally.
Investors are betting on the maiden budget of the Narendra Modi-government bringing in reform measures and improving fiscal discipline. A drop in global crude oil prices also boosted the sentiment.
For the quarter ended June, the Sensex rose 3027.51 points, or 13.5 per cent, following strong inflows from foreign institutional investors (FIIs) after the NDA came back to power with a clear majority.
“Arun Jaitley, the new finance minister, will present his maiden budget amid high expectations. The strong mandate in the elections and the recent announcement of a hike in railway passenger fares/freight rates have raised expectations about several reform announcements from the budget. Markets are looking out for a forward-thinking and an achievable budget,” a note from Kotak Securities said.
The Sensex resumed higher at 25179.55 and firmed up to 25460.96 before settling at 25413.78, its best closing since June 17. It notched up a gain of 313.86 points, or 1.25 per cent.
The Nifty of the NSE rose 102.55 points, or 1.37 per cent, to 7611.35.