Indian shares rose notably on Thursday as investors cheered the Fed’s dovish stance and signal on potential rate cuts in 2024.
Firm cues from global markets, a weaker dollar and falling bond yields underpinned investor sentiment after the U.S. Federal Reserve left interest rates unchanged for a fifth straight meeting and maintained its forecast for three rate cuts in 2024.
Investors also cheered domestic data showing that business activity in the country expanded at the fastest rate in eight months in March, keeping India on course as the fastest growing major economy.
The HSBC’s flash India Composite Purchasing Managers’ Index (PMI), compiled by S&P Global, rose to 61.3 this month from February’s final reading of 60.6.
The benchmark S&P BSE Sensex jumped 539.50 points, or 0.75 percent, to 72,641.19 while the broader NSE Nifty index settled 172.85 points, or 0.79 percent, higher at 22,011.95.
PSU stocks topped the gainers list, with Coal India, Power Grid Corp, BPCL and NTPC rallying 3-4 percent.
Tata Steel jumped 3.1 percent after announcing the cessation of coke oven operations at its Port Talbot plant.
Sensex, Nifty Climb On Dovish Fed Remarks
2024-03-21 10:25:45
