Stock market today: Nifty50 and BSE Sensex, the Indian equity benchmark indices, opened in green on Monday on positive global cues following US Federal Reserve rate cut move. While Nifty50 went above 25,400, BSE Sensex was up over 350 points. At 9:16 AM, Nifty50 was trading at 25,421.80, up 92 points or 0.36%. BSE Sensex was at83,046.31, up 353 points or 0.43%.Market experts predict continued upward movement, supported by progressive trade negotiations, Fed rate cut effects on global liquidity, and increased buying activity prompted by favourable sector indicators.Dr. VK Vijayakumar, Chief Investment Strategist, Geojit Investments Limited says, “The Fed chief Jerome Powell described the 25 bp rate cut as “risk management cut”. The focus of the Fed commentary is the uncertainty surrounding economic activity, unemployment and inflation. Since the labour market is cooling and the GDP growth projection for 2025 is only 1.6%, perhaps two more cuts are possible this year even though the Fed chief categorically stated that “ the policy is not on preset path.” The softening interest rate scenario is favourable for the market to remain bullish.”“Indian stock market is unlikely to be impacted by the Fed decision. The ongoing rally in the market is driven by expectations of earnings revival and a positive outcome from the India-US trade negotiations. Bank Nifty is resilient and the fair valuations of banking stocks may attract more investment, particularly institutional, into this segment.”The Nasdaq and S&P 500 declined in volatile trading on Wednesday, following the Federal Reserve’s anticipated 25 basis point rate reduction and Chair Powell’s comments on labour market weakness. The Dow advanced after fluctuating during Powell’s address.Oil prices remained stable on Thursday after the anticipated US central bank interest rate reduction. The indication of additional rate cuts by year-end suggested potential demand growth due to reduced borrowing expenses.Foreign portfolio investors sold shares worth Rs 1,124 crore net on Wednesday. Domestic institutional investors made net purchases of Rs 2293 crore.(Disclaimer: Recommendations and views on the stock market and other asset classes given by experts are their own. These opinions do not represent the views of The Times of India)
Stock market today: Nifty50 opens above 25,400; BSE Sensex up over 350 points on US Fed rate cut move
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