Indian shares are seen opening higher on Thursday as investors cheer the Fed’s dovish pivot and a retreat in U.S. Treasury yields.
Benchmark indexes Sensex and Nifty ended Wednesday’s choppy session marginally higher while the rupee fell by 13 paise to close at 83.16 against the dollar.
Asian markets traded mostly higher this morning after the major U.S. averages all showed strong moves to the upside overnight, reaching new record closing highs.
The dollar extended overnight losses while Treasuries steadied during Asian trading.
Gold traded over $2,200 an ounce for the first time following the Fed comments. Oil inched higher after falling sharply in the previous session.
U.S. stocks rose overnight while bond yields fell as the Fed left interest rates unchanged for a fifth straight meeting and maintained its forecast for three rate cuts in 2024.
The S&P 500 added 0.9 percent to set a record high for a second straight day as Fed Chair Jerome Powell said that the Fed’s next move is likely to be a cut sometime this year.
The Dow rallied 1 percent and the tech-heavy Nasdaq Composite climbed 1.3 percent to hit record highs.
European stocks ended mixed on Wednesday as investors reacted to encouraging U.K. inflation data and looked ahead to the Fed’s interest-rate decision.
The pan European STOXX 600 closed flat with a negative bias. The German DAX edged up 0.2 percent while France’s CAC 40 shed half a percent and the U.K.’s FTSE 100 finished marginally lower.
Market Analysis
Sensex, Nifty Seen Opening Up On Dovish Fed
2024-03-21 02:33:28
