Shillong, September 16: Indian equity indices opened with gains on Monday, tracking American markets as investors expect a rate cut by the US Fed that further boosts market sentiment.
At 9:44 a.m., Sensex was up 258 points or 0.31 per cent at 83,149 and Nifty was up 81 points or 0.32 per cent at 25,437.
In an early trading session, Sensex and Nifty both made a new all-time high of 83,184 and 24,445.
Buying was also seen in midcap and smallcap stocks. Nifty midcap 100 index was 300 points or 0.50 per cent at 60,334 and Nifty smallcap 100 index was 69 points or 0.36 per cent at 19,575.
In the Sensex pack, NTPC, Axis Bank, Tata Steel, Kotak Mahindra, JSW Steel, Bajaj Finserv, L&T, Bajaj Finance, HDFC Bank, Titan and Sun Pharma were the top gainers. HUL, Nestle, TCS and HCL Tech were top losers.
Among the sectoral indices, PSU Bank, fin service, metal, realty, pvt bank and infra were major gainers. IT and FMCG were the major laggards.
According to the market experts: “Globally equity markets will be focused on the Fed rate action on Wednesday which is likely to influence the stock market trend in the near-term. The first-rate cut by the Fed in four years is a foregone conclusion, the only uncertainty is about the extent of the rate cut, that is, whether the cut will be 25 bp or 50 bp. The market will also be keenly watching the Fed commentary on the evolving economic outlook.”
“Since the undertone of the Indian equity market continues to be bullish, it makes sense to remain invested. Among sectors, IT and pharma are showing strength,” they added.
Mixed trading is taking place in global markets. Tokyo, Shanghai and Hong Kong are in the red. Seoul, Jakarta and Bangkok are in green. US stock markets closed in the green on Friday.
The foreign institutional investors (FIIs) bought equities worth Rs 2,364 crore on September 13, while domestic institutional investors also bought equities worth Rs 2,532 crore on the same day. (IANS)