Markets surge on tax cut buzz; Sensex zooms 582 points to a 4-month high

The abolition of the DDT is one of the long-pending demands of market players as it leads to double taxation

The benchmark indices gained the most in three weeks on Tuesday as investors lapped up shares of blue chip companies amid reports that the government was planning to abolish the dividend distribution tax (DDT), along with the newly-introduced buyback tax. 

A new high by the S&P 500 of the US and gains in the Asian markets amid progress on the US-China trade talks and hopes of interest rate easing by the Federal Reserve also boosted sentiment. 

The Sensex gained 582 points, or 1.5 per