Active Stocks
Thu Mar 28 2024 15:59:33
  1. Tata Steel share price
  2. 155.90 2.00%
  1. ICICI Bank share price
  2. 1,095.75 1.08%
  1. HDFC Bank share price
  2. 1,448.20 0.52%
  1. ITC share price
  2. 428.55 0.13%
  1. Power Grid Corporation Of India share price
  2. 277.05 2.21%
Business News/ Market / Mark-to-market/  Indian markets surge: Is it party time again?
BackBack

Indian markets surge: Is it party time again?

Foreign portfolio investors were large net buyers in the Indian markets on Monday

As fresh data showed that the US added fewer jobs than expected in September (and revised downwards numbers for July and August), there is a growing sense of belief that the Federal Reserve will postpone its plan to raise interest rates. Photo: Hindustan TimesPremium
As fresh data showed that the US added fewer jobs than expected in September (and revised downwards numbers for July and August), there is a growing sense of belief that the Federal Reserve will postpone its plan to raise interest rates. Photo: Hindustan Times

Indian equities were part of global bounce back in stocks on Monday. As fresh data over the weekend showed that the US added fewer jobs than expected in September (and revised downwards numbers for July and August), there is a growing sense of belief that the Federal Reserve will postpone its plan to raise interest rates. Some now say the hike will happen only as late as March. In the Indian markets, foreign portfolio investors (FPIs) were large net buyers on Monday.

In fact, developed markets, which are typically less volatile than emerging nations, have reacted even more sharply. German stocks rose nearly 3% and France’s CAC 40 was up 3.66% compared with 2.1% for India.

Among local stocks, industries such as capital goods, metals, auto and power, which have shed the most value in recent times since the Chinese meltdown, bounced back the sharpest. It also helps that three out of these four are considered sensitive to interest rates, the cut in India giving an extra push.

Banks too rose sharply on Monday, but haven’t really gained much ground since the rate cut last week. It is perhaps yet another indicator that all is not well with our banking industry.

Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it's all here, just a click away! Login Now!

Catch all the Business News, Market News, Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.
More Less
Published: 05 Oct 2015, 08:49 PM IST
Next Story footLogo
Recommended For You
Switch to the Mint app for fast and personalized news - Get App