Stock Market Updates: Sensex Rises 450 Points, Nifty At 24,350; IT Stocks Rally
Wednesday saw the BSE Sensex and Nifty 50, key equity benchmarks, making gains as soon as the opening bell rang.
When the trading day commenced on Wednesday, key stock market barometers such as BSE Sensex and Nifty 50 surged, following initial indications hinting at Donald Trump taking the lead in the US presidential election race.
Upon the commencement of trading, the BSE Sensex showed a gain of 283 points, equivalent to 0.36%, reaching 79,759; concurrently, the Nifty 50 also saw an increase, climbing to 24,271 with a gain of 57 points, or 0.24%.
Cues from Around the World
On Wednesday, most Asia-Pacific markets saw gains following a surge on Wall Street the previous night, as investors awaited the outcome of the US presidential election.
The Nikkei 225 in Japan saw a 1.3 percent increase in trading, with the Topix also rising by 1.1 percent.
Following the September monetary policy meeting, the Bank of Japan unveiled its meeting minutes, indicating a consensus among members that the central bank should continue to hike rates upon the fulfillment of specific economic and price objectives.
The Kospi in South Korea experienced a rise of 0.2 percent, whereas the Kosdaq saw an increase of 0.55 percent.
In the financial realm today, there was a decrease of 1.3 percent in Hong Kong’s Hang Seng index, and mainland China’s CSI 300 experienced a slight dip of 0.33 percent. On the other hand, the Shanghai Composite saw a modest increase of 0.36 percent.
The ongoing session of China’s National People’s Congress (NPC) is set to extend into Tuesday, during which investors will be keenly observing for updates regarding potential stimulus measures and policies intended to support economic stability.
The S&P/ASX 200 in Australia experienced a 0.8 percent increase.
As the US presidential election results indicated a tight race, investors remained on edge, leading to a rise in US stock futures and the dollar in Asia on Wednesday.
Edison Research projected that Republican Donald Trump secured victories in Indiana and Kentucky, while Democrat Kamala Harris emerged victorious in Vermont, as the polls closed in the initial six states of the United States.
Some online gambling platforms have shifted their odds in favor of Trump, leading to a rise in Treasury yields. However, futures markets remain steadfast in their belief that the Federal Reserve will implement a 25 basis points interest rate cut on Thursday.
Trump’s proposed policies focusing on limited immigration, tax reductions, and extensive tariffs are perceived by analysts to potentially exert greater upward influence on inflation and bond yields compared to Harris’ center-left agenda.
The returns on 10-year Treasury bonds increased to 4.34%, up from 4.28%, approaching the four-month peak of 4.388% reached the previous week. Meanwhile, two-year yields rose to 4.245%, from 4.189% at the end of trading in New York.
In volatile trading, S&P 500 futures rose by 0.5 percent, with Nasdaq futures also gaining 0.2 percent. EUROSTOXX 50 futures showed a 0.2 percent increase, while DAX futures recorded a 0.4 percent gain.
