Indian Markets Rise: Bank Stocks & US Inflation Boost Sentiment

Mumbai, Jul 15 (PTI) Market benchmark indices Sensex and Nifty ended higher on Wednesday, bouncing back from previous session's sharp decline, led by bank stocks and a softer-than-expected US inflation data reinforcing expectations that the Federal Reserve may adopt a less aggressive monetary policy stance in the coming months.

Escalating hostilities between the US and Iran, however, kept investors' sentiment subdued in the later half of the trade, triggering profit-taking.

The 30-share BSE Sensex climbed 130.49 points, or 0.17 per cent, to settle at 77,185.43. During the day, it jumped 591.33 points, or 0.76 per cent, to 77,646.27.

The 50-share NSE Nifty went up 26.45 points, or 0.11 per cent, to end at 24,078.50.

From the Sensex pack, Eternal, UltraTech Cement, State Bank of India, Bajaj Finance, InterGlobe Aviation, and Asian Paints were among the major winners.

Power Grid, Larsen & Toubro, Tata Steel, and Infosys were among the laggards.


In Asian markets, South Korea's Kospi jumped 6.24 per cent. Japan's Nikkei 225 index and Hong Kong's Hang Seng index also ended higher, while Shanghai's SSE Composite index settled lower.

Markets in Europe were quoting lower. US markets ended higher on Tuesday.

"Domestic equities exhibited resilience, with broader markets outperforming large caps amid positive Asian cues," Vinod Nair, Head of Research, Geojit Investments Ltd, said.

Softer US inflation data supported sentiment, he added.

Brent crude, the global oil benchmark, went up 0.90 per cent to USD 85.50 per barrel.

Foreign Institutional Investors (FIIs) offloaded equities worth Rs 739.69 crore on Tuesday, according to exchange data.

On Tuesday, the Sensex tanked 561.46 points, or 0.72 per cent, to settle at 77,054.94. The Nifty dropped 158.95 points, or 0.66 per cent, to end at 24,052.05.