Tuesday saw advances in Indian shares driven by the banking sector, which had been in decline for the previous two sessions. Information technology (IT) sectors also gained as global markets rallied on speculation that U.S. interest rates had peaked.
Out of the 13 key sectors, 12 made progress. A two-session losing run was ended by a 0.5% gain in high weightage financials after the Reserve Bank of India’s tightening of consumer lending standards.
IT firms, which rely heavily on U.S. income, held onto their profits on the expectation that the Federal Reserve of the United States would not raise interest rates any more this cycle.
IT index has increased by 6.33% after mild U.S. inflation data was released on November 14.
Asian markets have also increased, following Wall Street’s overnight surge to multi-month highs. The MSCI Asia ex-Japan index is 1.12% higher.
Head of retail research at Motilal Oswal Financial Services Siddhartha Khemka stated, “Looking for clues into the central bank’s rate outlook, focus will be on the minutes of the most recent Fed meeting.” After market hours is when the Fed policy minutes are due.
Both small- and mid-cap stocks saw gains of around 0.4% apiece, setting new records.
Real estate index increased by 1%, whereas metals gained 1.5%.
Oberoi Realty saw a 2% increase on the announcement of the Thane, Maharashtra, opening of a premium residential project.
2% is Sunteck Realty. Because of two or three impending project launches, Motilal Oswal projected a 25% compound annual growth rate (CAGR) in earnings for the fiscal years 2023 and 2026.
Following the announcement of a cooperation with ABB India for metro projects in India, railway waggon manufacturer Titagarh Rail Systems saw a 9.5% increase to a record high. ABB, a manufacturer of automation solutions and manufacturing robots, had a 1.7% increase.