| What's good for the Bombay Stock Exchange is good for India. |
Several television channels reported Tuesday that the communist parties have reached an agreement with the government allowing it to start negotiations with the UN nuclear watchdog. Earlier, the leftist parties had threatened to withdraw support if the government moved forward with the deal.
The leftÂ’s climbdown on the nuclear deal was a shot in the arm for the markets, as it hinted at renewed political stability and raised hopes of certain domestic sectors gaining orders if the deal comes through,Â’ said Prakash Rajdev, chief dealer at Mumbai-based Khandwala Securities.
The Bombay Stock ExchangeÂ’s benchmark index _ the 30-share Sensex _ rose 298 points, or 1.6 percent, to 19,035 points. On the broader National Stock Exchange, the 50-company S&P CNX Nifty climbed 1.4 percent to 5,695 points.