Sensex closed 1,181.34 points or 1.95% higher at 61,795.04, driven by heavy buying in IT, metal and financial stocks amid a rally in global markets after lower-than-expected US inflation data
Sensex closed 1,181.34 points or 1.95% higher at 61,795.04, driven by heavy buying in IT, metal and financial stocks amid a rally in global markets after lower-than-expected US inflation data
Equity benchmarks Sensex and Nifty rose nearly 2% on Friday, driven by heavy buying in IT, metal and financial stocks amid a rally in global markets following lower-than-expected US inflation data.
strong Rupee against US Dollar Traders said foreign inflows and unhindered foreign inflows further strengthened the sentiment.
Moderation in US inflation fueled speculation that the US Federal Reserve may slow the pace of interest rate hikes.
The 30-share BSE Sensex closed 1,181.34 points or 1.95% higher at 61,795.04. During the dayIt saw a high of 61,840.97 and a low of 61,311.02.
Similarly, the broader NSE Nifty ended 321.50 points or 1.78% higher at 18,349.70.
Among the Sensex stocks, HDFC emerged with gains of 5.84%, followed by HDFC Bank, Infosys, Tech Mahindra, HCL Tech, TCS, Wipro, Tata Steel and Reliance Industries.
On the other hand, Mahindra & Mahindra, SBI, Kotak Bank, Dr Reddy’s, ICICI Bank and NTPC were among the laggards.
In the broader market, the BSE Smallcap gauge rose 0.15% and the Midcap index rose 0.33%.
Financial markets rallied after the US consumer price index fell to 7.4% in October, up from 8.2% in September. Markets were tense after the US Federal Reserve signaled further tightening of interest rates to fight inflation. Current US inflation figures point to an early end to the interest rate hike cycle.
In Asian markets, Hong Kong’s Hang Seng rose 7.70%, while the Nikkei in Tokyo rose 2.98%. The Kospi rose 3.37% in Seoul. The Shanghai Composite Index rose 1.69%.
Equity exchanges in Europe were also trading in the green in the afternoon session. Stock exchanges in the US closed with a big gain on Thursday.
On the macroeconomic front, Moody’s on Friday slashed India’s GDP growth forecast for 2022 to 7%Having said that a global slowdown and high domestic interest rates will dampen the economic momentum.
The rupee on Friday gained 62 paise to close at 80.78 (provisional) against the US dollar.
Meanwhile, international oil benchmark Brent crude rose 2.37% to $95.89 a barrel.
Foreign institutional investors (FIIs) remained net buyers in the Indian capital market on Thursday as they bought shares worth Rs 36.06 crore, according to exchange data.