Sensex rises 274 points, Nifty closes above 24,300 after Fed keeps rates unchanged
Key Takeaways
- •The Sensex gained 274 points and the Nifty closed above 24,300 following the US Federal Reserve's decision to maintain interest rates at current levels.
- •Some Federal Reserve policymakers indicated that a rate hike later in the year remains a possibility despite the current pause.
- •Broader Indian markets declined even as select large-cap stocks lifted the benchmark indices, reflecting uneven market breadth.
- •Elevated Brent crude prices represent a significant headwind for India given that the country imports more than 80% of its crude oil requirements.
- •Investors are closely monitoring upcoming US inflation and jobs data, the Fed's next policy meeting, and domestic factors such as corporate earnings and the Union Budget for further market direction.
Sensex rises 274 points, Nifty closes above 24,300 after Fed keeps rates unchanged
Indian stock markets extended gains on Thursday after the US Federal Reserve kept interest rates unchanged. The move came even as some policymakers signaled the possibility of a rate hike later this year. For emerging markets like India, the Fed's decision is closely watched because US rate decisions influence global capital flows; when rates remain steady, dollar-denominated assets become less attractive relative to emerging-market equities, which can support foreign inflows.
Broader markets declined, while select large-cap stocks helped lift the Sensex. Rising Brent crude prices and the Fed's split decision were described as significant headwinds for the market. India imports more than 80% of its crude oil requirements, making elevated Brent prices a structural concern for the country's trade balance, inflation trajectory, and fiscal math. At the same time, the Indian economy's resilience and foreign investor interest provided fundamental support.
The Fed's divided stance also sets up a watching brief for investors ahead of its next policy meeting and the release of subsequent US inflation and jobs data, which will shape expectations on whether a rate cut materializes in 2025 or rates stay higher for longer. Domestically, India's own monetary policy trajectory, corporate earnings performance, and Union Budget announcements remain additional variables market participants are tracking.
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(What's moving Sensex and Nifty Track latest market news , stock tips , Budget 2025 , Share Market on Budget 2025 and expert advice , on ETMarkets . Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds .)
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Top Trending Stocks: SBI Share Price , Axis Bank Share Price , HDFC Bank Share Price , Infosys Share Price , Wipro Share Price , NTPC Share Price
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