The shares advanced as new data showed U.S. inflation is on a firm downward trajectory, boosting bets that the Federal Reserve will forgo any more interest rate hikes and, indeed, start cutting rates, said Avdhut Bagkar, technical and derivatives analyst at StoxBox.
“In this truncated trading week, we expect the market to trend with positive admiration amid global cues. It will be crucial to steer clear above 19,550 to attract further bullish strength,” Bagkar said.
Index provider MSCI Inc. added nine Indian stocks to its Emerging Markets Index in its November review on Wednesday. The changes will come into effect after the market closes on Nov. 30.
As per the latest rejig, Tata Motors A, IndusInd Bank, Polycab India, and Macrotech Developers were added to the large-cap index, whereas Paytm parent One 97 Communications and Tata Communications were added to the mid-cap index. Meanwhile, APL Apollo Tubes, Persistent Systems, and Suzlon Energy were upgraded to a mid-cap index from a small-cap index.
Stocks and currencies in Asia rallied after an unexpected inflation slowdown bolstered bets that the Federal Reserve’s aggressive hiking cycle is over.
MSCI Inc.’s Asia Pacific Index jumped about 2%, with all markets in the green. Futures for U.S. stocks also advanced after the S&P 500 climbed the most since April. South Korea’s win led to gains among Asian currencies.
On Tuesday, the S&P 500 gained nearly 2%, the most since April. Tesla Inc. led gains in megacaps, and Nvidia Corp. rallied for a 10th straight session. The South Korean won led the gains among Asian currencies.