Business: Stock markets closed sharply on Thursday due to the rise in global markets amid expectations of interest rate cut by the US Fed. Benchmark Sensex and Nifty registered gains of more than one percent. The 30-share BSE Sensex closed at 83,467.66, up 826.23 points or 1.04 per cent. It rose 1,010.05 points or 1.22 percent to 83,615.48 during trading. Meanwhile, the 50-share NSE Nifty rose by 261.75 points or 1.03 percent to 25,585.30.
Sensex and Nifty led broad gains driven by gains in financials and consumer durables stocks led by improvement in household income and fresh foreign investment. The Sensex has risen more than 1,500 points in the last two sessions. At the same time, Nifty has jumped 1.9%. It closed at 87.87 (provisional) with a gain of 21 paise against the dollar. The rise was driven by the US currency’s softening against major currencies and re-emergence of risk-off sentiment among investors.
Condition of Sensex companies
Among Sensex companies, Kotak Mahindra Bank, Titan, Axis Bank, Adani Ports, Mahindra & Mahindra, Reliance Industries, Tata Motors and HDFC Bank were the major gainers. Whereas, Eternal and Infosys lagged behind.
Growth seen in European markets
In Asian markets, South Korea’s Kospi rose 2.49 percent, Japan’s Nikkei 225 index rose 1.27 percent and Shanghai’s SSE Composite index rose 0.10 percent. Hong Kong’s Hang Seng closed with a decline. European markets were trading with gains. On Wednesday, American markets closed mostly with gains.
Optimism in the market regarding India-US trade talks
Vinod Nair, Head of Research, Geojit Investments Ltd, said, “Buoyed by positive global cues and fresh optimism over India-US trade talks, domestic equity markets continued their strong recovery rally. Expectations of demand recovery in Q3FY26, early signs of FII inflows, US Fed’s dovish commentary and weakness in the dollar index further boosted the sentiment.”
Commerce Secretary Rajesh Aggarwal will join the Indian delegation in the US for trade talks today. India has indicated its readiness to increase energy imports from the US. The Indian negotiating team is already in Washington for trade talks.
The price of Brent crude increased to $ 62.26 per barrel.
Global oil benchmark Brent crude rose 0.57 percent to $62.26 a barrel. According to exchange data, foreign institutional investors (FIIs) bought shares worth Rs 68.64 crore on Wednesday. Domestic institutional investors (DIIs) also bought shares worth Rs 4,650.08 crore.
On Wednesday, the Sensex closed at 82,605.43, up 575.45 points or 0.70 per cent. Nifty closed at 25,323.55, up 178.05 points or 0.71 per cent.
