Nifty Regains 8,800 on Positive Global Cues

The BSE benchmark Sensex jumped in the opening trades on Wednesday supported by positive global cues.

 

The 50-share Nifty regained its crucial psychological level of 8,800 led by buying in heavyweights like State Bank of India, Reliance Industries and ONGC.

 

Overnight, the US equities rose and bond yields fell after US Federal Reserve Chair Janet Yellen said on Tuesday it would be several months before the Fed expects to boost interest rates, while European equity markets gained after Greece locked in a four-month extension of its financial rescue programme.

 

Yellen said the Fed's policy-setting committee is considering interest rate hikes "on a meeting by meeting basis." She added, however, that a rate increase is not likely for at least the next couple of meetings, and that the first hike would not necessarily come after the Fed removes the word "patient" from its forward guidance.

 

The Dow Jones industrial average gained 92.35 points, or 0.51 per cent, to 18,209.19, the S&P 500 gained 5.82 points, or 0.28 per cent, to 2,115.48 and the Nasdaq Composite added 7.15 points, or 0.14 per cent, to 4,968.12. The Nasdaq has posted gains in 10 consecutive sessions, the longest streak since July 2009.

 

In Asia, stocks rose on Wednesday, taking their cues from Wall Street's gains after Federal Reserve Chair Janet Yellen suggested the Fed would not rush into raising interest rates.

(With inputs from Reuters)