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Indian benchmark equity indices, BSE Sensex and Nifty50, opened higher on Thursday, buoyed by positive global cues
Sensex Today
Sensex Today: Indian benchmark equity indices, BSE Sensex and Nifty50, opened higher on Thursday, buoyed by positive global cues following the US Federal Reserve’s decision to keep interest rates unchanged due to concerns over economic growth. At the opening bell, the BSE Sensex rose 358 points, or 0.47%, to 75,807, while the Nifty50 gained 91 points, or 0.4%, reaching 22,999.
The upward movement in Indian markets is being driven by global sentiment after the US Fed opted to maintain its policy rate at 4.25%-4.50%, citing concerns over slowing growth, while also signaling a potential half-percentage point reduction in borrowing costs by year-end. Additionally, investors will be monitoring the trading activities of foreign institutional investors, who sold Indian equities worth Rs 1,096.50 crore on a net basis on Wednesday, while domestic institutional investors made net purchases of Rs 2,140.76 crore. A report by ICICI Securities noted that while the recent market correction has increased the number of “investable value” stocks, finding deep bargains remains challenging.
Global Cues
On Wednesday, U.S. central bankers indicated they are likely to implement two quarter-point interest rate cuts later this year, maintaining the same median forecast from three months ago. This comes despite expectations of slower economic growth and higher inflation.
The dollar weakened on Thursday after the Federal Reserve signaled that interest rate cuts are likely later this year, despite ongoing uncertainty surrounding U.S. tariffs. Meanwhile, the pound reached a four-month high ahead of the Bank of England’s upcoming policy decision.
U.S. policymakers forecast two quarter-point interest rate cuts later this year, consistent with their outlook from three months ago, even as they anticipate slower economic growth and higher inflation. On Wednesday, the Fed kept its benchmark overnight rate unchanged in the 4.25%-4.50% range.
U.S. stocks surged on Wednesday after the Federal Reserve, as expected, decided to keep interest rates steady. Both the central bank and investors are closely monitoring the impact of President Donald Trump’s tariff policies on the economy and inflation.
China kept its benchmark lending rates unchanged for the fifth consecutive month in March, in line with market expectations. The one-year loan prime rate (LPR) remained at 3.1%, while the five-year LPR stayed at 3.6%.
As of 9:45 a.m. Tokyo time, S&P 500 futures increased by 0.4%, while Hang Seng futures showed little movement. Australia’s S&P/ASX 200 saw a gain of 0.8%, and Euro Stoxx 50 futures rose by 0.2%, indicating a generally positive outlook for global markets.
