NEW DELHI: Both Indian indices, the BSE sensex and Nifty, are trading higher on Thursday, following their Asian peers over positive comments from the US Federal Reserve.
While Sensex jumped 595.02 points to 72,696.71 in early trade, Nifty climbed 181.85 points to 22,020.95.
Following the Federal Reserve’s decision to keep interest rates steady, which was in line with expectations, US stocks ended at record highs on Wednesday.Moreover, the Fed remained consistent with its plan for three interest rate reductions this year.
Jerome Powell, the Fed Chair, remarked that despite recent significant inflation data, the broader narrative of gradually diminishing price pressures remains unchanged. He also reaffirmed the central bank’s previous prediction of a soft landing for the world’s biggest economy.
These statements enhanced the anticipation of a rate decrease in June, with the likelihood increasing to 77% from 59% just one day earlier, based on the CME’s FedWatch Tool.
Following this, Asian stock markets began the day on a higher note, with the MSCI Asia ex-Japan index climbing by 1.6%.
On Wednesday, Indian equities closed virtually unchanged. In a highly volatile trade, the 30-share BSE sensex rose 89.64 points or 0.12 per cent to settle at 72,101.69. During the day, it jumped 390.62 points or 0.54 per cent to 72,402.67. The benchmark hit its day’s low of 71,674.42, down 337.63 points or 0.46 per cent.
The NSE Nifty climbed 21.65 points or 0.10 per cent to finish at 21,839.10.
(With inputs from agencies)
While Sensex jumped 595.02 points to 72,696.71 in early trade, Nifty climbed 181.85 points to 22,020.95.
Following the Federal Reserve’s decision to keep interest rates steady, which was in line with expectations, US stocks ended at record highs on Wednesday.Moreover, the Fed remained consistent with its plan for three interest rate reductions this year.
Jerome Powell, the Fed Chair, remarked that despite recent significant inflation data, the broader narrative of gradually diminishing price pressures remains unchanged. He also reaffirmed the central bank’s previous prediction of a soft landing for the world’s biggest economy.
These statements enhanced the anticipation of a rate decrease in June, with the likelihood increasing to 77% from 59% just one day earlier, based on the CME’s FedWatch Tool.
Following this, Asian stock markets began the day on a higher note, with the MSCI Asia ex-Japan index climbing by 1.6%.
On Wednesday, Indian equities closed virtually unchanged. In a highly volatile trade, the 30-share BSE sensex rose 89.64 points or 0.12 per cent to settle at 72,101.69. During the day, it jumped 390.62 points or 0.54 per cent to 72,402.67. The benchmark hit its day’s low of 71,674.42, down 337.63 points or 0.46 per cent.
The NSE Nifty climbed 21.65 points or 0.10 per cent to finish at 21,839.10.
(With inputs from agencies)