The key domestic benchmark indices maintained early gains following upside in Asian equities, with bank shares leading the gains. The 30-share benchmark index is up over 200 points, while the 50-share Nifty index also managed to reclaim its psychological level of 8750, supported by gains in banks, consumer durable, metal and oil & gas stocks.
The sentiments of investors got a boost after International Monetary Fund ( IMF) raised its growth forecast for the current fiscal to 7.2%. Further, investors are eying data on industrial production for January and consumer price index for February scheduled to be announced today besides keeping a tab on development regarding coal and mines related Bills and insurance amendment bills sent by the government to the Rajya Sabha.
A surprise interest rate cut by South Korea’s central bank on Thursday helped lift an index of Asian stocks away from the previous session’s seven-week lows, while the prospect of higher U.S. interest rates buoyed the dollar.
US stocks ended lower for a second straight session on Wednesday as worries grew about the timing of a Federal Reserve interest rate hike and dollar strength further dampened the outlook for US earnings.
At 11.04 am, the Sensex was trading at 28870, 210 points higher and the Nifty was trading at 8761, up by 62 points.