Indian Equity Markets Rally on Rate Cut Hopes and Trade Optimism
Indian benchmark indices surged sharply higher today, with the Sensex gaining 660 points to breach 83,200 and the Nifty50 crossing 25,500. The rally was fueled by dual tailwinds: growing expectations of a US Federal Reserve rate cut and progress in India-US trade negotiations.
Private banks led the charge, with Axis Bank jumping 4% post-earnings and Kotak Mahindra Bank ranking among top Nifty gainers. Sectoral performance showed broad-based strength, with realty, consumer durables, and FMCG indices all climbing 1-2%. Only PSU banks and pharma stocks bucked the positive trend.
Market breadth remained healthy with 1,777 advancing stocks versus 1,179 decliners on the NSE. The rally demonstrates how global monetary policy expectations continue to drive capital flows into emerging markets.
