Indian markets rally on sharp global cues
The bullish trend in Indian stock indices continued for the third straight week as the benchmark index Sensex breached 60,000 after several weeks on Monday. The majority of the Asian markets rallied and traded in the green as investors cheered the news that the Federal Reserve would go slow on its rate hikes which are due to be declared.
Mumbai (Maharashtra) [India], November 1 (ANI): The Indian markets continued on their rally on Tuesday as S&P BSE Sensex surged 374 points to 61,121.35 whereas Nifty50 rose 133 points to 18,145.40.
Among the broad-market indices, BSE LargeCap surged 54 points to 7,051.06. Adani Enterprise, NTPC, Powergrid and Nykaa are some of the most active stocks on the index. About 263 points surge was seen in BSE MidCap with Delhivery, Adani Power, Voltas, Laurus Labs as some of the most active stocks on the index. BSE SmallCap went up 73 points to 28,891.11 with Renuka Sugars, Equitas, Infibeam, ITI, Orient Hotels and Unichem Lab being some of the most active stocks on the index.
The bullish trend in Indian stock indices continued for the third straight week as the benchmark index Sensex breached 60,000 after several weeks on Monday. The majority of the Asian markets rallied and traded in the green as investors cheered the news that the Federal Reserve would go slow on its rate hikes which are due to be declared. European markets also opened higher from the cues of the news of the Federal Reserve’s dovish stand.
At 9.41 am, Sensex traded at 61,086.05 points, up 339.46 points or 0.56 per cent, whereas Nifty traded at 18,121.70 points, up 109.50 points or 0.61 per cent.
Among the Nifty 50 stocks, Dr. Reddy’s, NTPC, Divi’s Labs, Adani Enterprises, and Apollo Hospitals Enterprise were the top five gainers this morning.
“Today, markets are likely to start the new month on an optimistic note supported by steady foreign flows coupled with the drop in crude oil prices. The US markets ended lower yesterday as investors’ focus turned to the Federal Reserve’s policy meeting this week (November 1-2),” said Mohit Nigam, Head – PMS, Hem Securities.
Market sentiments will get a boost as production of eight infrastructure industries that comprise the core sector recovered to grow at 7.9 per cent in September – a three-month high – owing to a favourable base and double-digit growth in output of fertilisers, cement, and electricity, Mohit Nigam added.
However, declining foreign exchange reserves is a concern among investors.
India’s forex reserves have been depleting for months now because of RBI’s intervention in the market to defend the depreciating rupee.
India’s foreign exchange reserves during the week that ended on October 21 fell to a new over two-year low of USD 524.520 billion, a drop of USD 3.85 billion from the previous week.
India’s forex reserves have declined by around USD 100 billion ever since Russia invaded Ukraine in late February when imports of energy and other commodities got costlier globally.
Over the past 12 months, the reserves declined by around USD 115 billion on a cumulative basis. (ANI)
