Nifty 50, Sensex Up 0.15%; Rate Cut Hopes Boost IT Stocks

India’s benchmark indices, the Nifty 50 and Sensex, rose about 0.15 per cent each, supported by strength in IT stocks as expectations increased for a U.S. Federal Reserve rate cut in December. Analysts noted that the improving earnings outlook is aiding sentiment, with blue-chip stocks moving closer to their record high levels. Both indices are currently about 0.7 per cent below their record highs last seen in September 2024.

Sector-wise performance showed mixed movement, with eight of the sixteen sectors advancing. The IT index gained 1.2 per cent and climbed as much as 1.81 per cent during the session, marking its biggest Intraday rise in five months. Meanwhile, the broader Small-Cap and Mid-Cap indices traded flat, indicating limited traction in the wider market.

Global cues also supported domestic markets. Comments from the New York Federal Reserve President suggested that interest rates could fall in the near term, improving global risk appetite. Asian markets responded positively, with the regional index rising 1 per cent.

On the stock-specific front, Hindustan Aeronautics saw a 3.5 per cent decline after its Tejas fighter jet crashed at the Dubai Airshow. In contrast, online platform companies Swiggy and Eternal gained 1.2 per cent and 0.2 per cent, respectively, remaining unaffected by the newly announced labour codes.