IT Leads India’s Benchmark Indices Higher as US Rate Cut Odds Rise

India’s benchmark stock indexes opened slightly higher on Monday, moving closer to record levels as IT shares led early gains. The rise came amid growing expectations that the U.S. Federal Reserve may cut interest rates in December.

The Nifty 50 rose 0.21 per cent to Rs 26,122.8, while the BSE Sensex was up 0.1 per cent at Rs 85,320.04 at 9:15 a.m. IST. At the sector level, five of the 16 major sectors advanced in early trade. IT firms, which derive a large portion of their revenue from the U.S., gained 1.1 per cent.

Asian markets also moved higher, with the MSCI Asia ex-Japan index adding 1 per cent. The sentiment improved after New York Fed President John Williams indicated that the U.S. central Bank could still consider lowering interest rates soon.

In contrast, broader market indices were slightly weaker. The Small-Cap index and the Mid-Cap index both fell around 0.1 per cent at the open.

Disclaimer: The article is for informational purposes only and not investment advice.