News

Sensex, Nifty jump despite Fed rate concerns

Sensex and Nifty opened on a strong note on Wednesday, tracking gains across most Asian markets and positive investor sentiment. The rally came despite overnight weakness on Wall Street after hotter-than-expected US inflation data revived concerns about a possible Federal Reserve rate hike in December.

Support for domestic equities also came from renewed foreign institutional investor buying and relatively softer crude oil prices. However, lingering concerns over global interest rates and a rebound in oil prices could cap gains.

At 9:25 AM, the Sensex was up 1,090 points at 82,185, while the Nifty gained 1.09% to 25,313.

Rupee Check

The rupee opened 29 paise higher at 93.74 against the US dollar, compared with its previous close of 93.93.

Global Update

Asian equities advanced on Wednesday after stronger-than-expected earnings from US cloud computing firm CoreWeave boosted sentiment towards artificial intelligence-related stocks and technology shares. The MSCI Asia Pacific Index rose as much as 0.8%, led by gains in Japan and South Korea. Japan's Nikkei 225 advanced 0.8%, while South Korea's KOSPI gained 0.6%. Chinese markets underperformed, with Hong Kong's Hang Seng falling 0.8% and the Shanghai Composite slipping 0.2%.

US stocks ended lower overnight after inflation data came in above expectations, strengthening market expectations that the Federal Reserve could consider another rate hike in December. The Dow Jones Industrial Average fell 0.3%, the S&P 500 declined 0.38%, and the Nasdaq Composite dropped 0.74%.