Stock markets rebound after two days of fall amid global rally

Mumbai: Benchmark equity indices Sensex and Nifty rebounded nearly 1 per cent on Thursday after a two-day decline, following a rally in global markets amid the US Federal Reserve keeping rates unchanged.

The 30-share BSE Sensex jumped 489.57 points or 0.77 per cent to settle at 64,080.90. During the day, it rallied 611.31 points or 0.96 per cent to 64,202.64.

The Nifty climbed 144.10 points or 0.76 per cent to 19,133.25.

Among the Sensex firms, IndusInd Bank, Tata Steel, Tata Motors, Sun Pharma, Infosys, Mahindra & Mahindra, Infosys, NTPC, Bharti Airtel, HCL Technologies and Axis Bank were the biggest gainers.

Tech Mahindra and Bajaj Finance were the laggards.

"A pause with dovish commentary from the Fed led to a rebound in the global and domestic market sentiment. Further, the fall in US bond yields indicates a prolonged pause in interest rate hikes," Vinod Nair, Head of Research at Geojit Financial Services said.

"Domestic macros are favourable with positive auto numbers, a surge in GST collection, good factory data and better than estimated Q2 quarter earnings," Nair added.

In Asian markets, Seoul, Tokyo and Hong Kong ended in the green while Shanghai settled lower. European markets were trading in positive territory. The US markets ended with gains on Wednesday.

Global oil benchmark Brent crude jumped 1.67 per cent to USD 86.12 a barrel.

Foreign institutional investors (FIIs) offloaded equities worth Rs 1,816.91 crore on Wednesday, according to exchange data.

The BSE benchmark declined 283.60 points or 0.44 per cent to settle at 63,591.33 on Wednesday. The Nifty went down by 90.45 points or 0.47 to 18,989.15.