Opening bell: Sensex soars over 450 points, Nifty goes beyond 16,750; Bajaj twins are among the top gainers
On the strength of confidence from foreign equity markets, Indian markets opened the day in the green.
The domestic equities benchmarks traded early on with significant gains amid widespread buying. The Nifty briefly traded above 16,750. Shares increased in all industries except pharma. The top Nifty gainers were Bajaj Finance (up 4.98%), Bajaj Finserv (up 4.08%), IndusInd Bank (up 2.06%), Infosys (up 1.79%), and Tata Steel (up 1.77%).
The top Nifty losers included Dr Reddy's Lab (down 1.76%), Sun Pharma (down 1.16%), Cipla (down 0.84%), Bharti Airtel (down 0.44%), and Nestle India (down 0.39%). S&P BSE Mid-Cap index decreased 0.12% in the overall market, while the S&P BSE Small-Cap index decreased 0.2%. Market breadth was very strong as 1,656 shares increased and 711 shares decreased on the BSE. 101 shares remained unchanged in total.
Investors applauded after the US Fed denied that the US economy is in a recession and suggested that future rate hikes would be more gradual. The ASX and New Zealand markets have led Asian markets' positive opening session performance. The Japanese stock market index Nikkei was up 100 points. As the supply of semiconductors currently decreases, the markets in Taiwan and South Korea should both experience solid growth. Listed stocks ought to perform well there as a result.
Chinese stocks will also be active due to the strong demand for metals and automobiles. Following the widely anticipated decision by the U.S. Federal Reserve to hike rates by 75 basis points to combat inflation, Asian equities are mostly higher on Thursday. US markets rose on Wednesday as the Federal Reserve announced its much-awaited rate hike to combat inflation, though it made a suggestion that it would eventually moderate the pace of its campaign.
The Federal Reserve raised interest rates on Wednesday for the second time in a row by 0.75% points, bringing the benchmark rate to a range of 2.25% to 2.5%. With the hike, the fund's rate has reached its highest point since December 2018. In a news conference, Powell stated that the data would determine whether the Fed raised interest rates by 0.75% point in September.
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