Indian shares rallied on Monday to test one-week highs as fears about a full-point Fed rate hike receded.
The dollar eased in international markets after the University of Michigan’s survey showed inflation expectations easing to a one-year low.
With positive global cues lending support, investors shrugged off a rising trend in oil prices and a decision by Morgan Stanley to lower its GDP growth estimates for India.
Meanwhile, in a reply in the Lok Sabha, the finance ministry said that “global factors such as the Russia- Ukraine conflict, soaring crude oil prices and tightening of global financial conditions are the major reasons for the weakening of the Indian rupee against the greenback.”
The benchmark S&P BSE Sensex jumped 760.37 points, or 1.41 percent to 54,521.15, while the broader NSE Nifty index ended the session up 229.30 points, or 1.43 percent, at 16,278.50.
Hindalco soared 4.8 percent to pace the gainers as industrial metal prices gained on Chinese regulators’ latest efforts to avert a potential crisis in the country’s real estate market.
Tech stocks saw broad-based gains, with Tech Mahindra and Infosys both climbing around 4 percent.
Financials followed suit, with Bajaj FinServ and IndusInd Bank rising 3.5 percent and 4.3 percent, respectively.
On the flip side, Mahindra & Mahindra, HDFC Bank, Britannia Industries and Dr Reddy’s Laboratories dropped 1-2 percent.
Market Analysis
Sensex, Nifty Rally On Firm Global Cues
2022-07-18 10:30:19
