Closing Bell: Sensex gains 84 points ahead of US Fed’s rate decision

Equity benchmark BSE Sensex rose 84 points on Wednesday to end at 37,481 following robust buying in banking and auto stocks on ahead of the US Federal Reserve’s interest rate decision.

After a choppy session, the 30-share index settled 83.88 points or 0.22 per cent higher at 37,481.12. The broader NSE Nifty ended 32.60 points or 0.29 per cent up at 11,118.00.

Yes Bank was the biggest gainer in the Sensex pack, soaring 6.04 per cent, followed by IndusInd Bank, Tata Steel, HeroMotoCorp, Sun Pharma, Bajaj Auto, Power Grid, Tata Motors, SBI and Kotak Bank that gained up to 5.32 per cent.

On the other hand, Axis Bank emerged as the biggest loser, dropping 4.55 per cent, followed by Bharti Airtel, Reliance, NTPC, Maruti, Tech Mahindra, ONGC, HDFC and HDFC Bank.

Market sentiment improved on expectations that the US Fed will reduce rates in its policy meeting for the first time in a decade, traders said.

In the previous session, the 30-share index cracked fell 289.13 points or 0.77 per cent to end at 37,397.24. The broader NSE Nifty sank 103.80 points or 0.93 per cent to 11,085.40.

The simmering trade tensions between the US and China and unabated foreign fund outflows mainly weighed on the market sentiments, traders said.

Investors also turned pessimistic about the ongoing high-level talks between the US and China aimed at resolving their trade disputes after US President Donald Trump accused China of going back on commitments.

Elsewhere in Asia, Shanghai Composite Index, Hang Seng, Kospi and Nikkei ended in the red.

Equities in Europe were also trading lower in their respective early sessions.

Foreign investors sold equities worth Rs 644.59 crore on a net basis on Tuesday, as per provisional data with stock exchanges.

On the currency front, the rupee was trading almost flat at 68.84 against the US dollar.

Meanwhile, the global oil benchmark Brent crude futures rose 0.82 per cent to USD 65.25 per barrel.