Mumbai: Equity benchmarks pared early gains but managed to end modestly higher on Monday after the finance minister announced fresh stimulus measures to revive festive demand and boost the economy.
After rallying nearly 400 points in the morning, the 30-share BSE Sensex buckled under selling pressure in afternoon trade, before ending 84.31 points or 0.21 per cent higher at 40,593.80.
Similarly, the NSE Nifty rose 16.75 points or 0.14 per cent to close at 11,930.95. Both the key indices have extended their winning streak to eight sessions.
In a bid to stimulate consumer demand during the festival season and boost the economy, Finance Minister Nirmala Sitharaman on Monday announced payment of cash in lieu of LTC and Rs 10,000 festival advance to government employees.
She also announced additional capital spending and Rs 12,000 crore, 50-year interest-free loan to states to boost the economy that has been battered by the pandemic and the resulting lockdowns.
ITC was the top gainer in the Sensex pack, spurting 2.59 per cent, followed by Infosys, Asian Paints, HCL Tech, PowerGrid, Maruti, TCS and ICICI Bank.
On the other hand, Bharti Airtel, ONGC, HDFC Bank, IndusInd Bank and Bajaj Auto were among the main laggards, shedding up to 2.33 per cent.
Broader BSE midcap and smallcap indices lost as much as 0.48 per cent.
International oil benchmark Brent crude was trading 1.38 per cent lower at $42.26 per barrel.
In the forex market, the rupee snapped its three-session winning run, slipping 12 paise to close at 73.28 against the US dollar.