BSE PSU index hits 16-month high, surges 27% since Budget

Hindustan Copper, RCF, MMTC, NBCC, Indian Overseas Bank, Bank of Maharashtra and Bank of India have rallied more than 50% in past one month.

Shares of public sector undertaking (PSU) firms continued to be on a roll with the S&P BSE PSU index hitting a 16-month high in Tuesday's intraday trade. The index has rallied 27 per cent since February 1 as the PSU companies and banks got a new lease of life after the government presented the budget for the financial year 2021-22 (FY22).

The S&P BSE PSU index hit an intra-day high of 7,292, its highest level since November 2019. In the month of February, the PSU index had posted its biggest monthly gain in nearly seven years. The index rallied 22.5