Smart Budget Feb 2022: Market responds with a 2.5% surge over two sessions

A 500-company sample of Q3 results, including many of the private sector majors, shows signs of inflation impacts

The market responded positively to the Budget with a surge of 2.5 per cent in values over two sessions in the broad-based Nifty 500. The Nifty 50 also rose by 2.5 per cent. Technically, the Nifty has gone through a correction since late October, when it hit a record high of 18,604. It hit a recent low of 16,410 on Dec 20, 2021, for a retraction of 11.7 per cent from that peak.

But the index has not dipped below its own 200-day moving average, which is considered a sign of good health. A trend following analyst would now hope for