Mumbai: The key Indian equity indices traded higher on Thursday with the Sensex gaining over 150 points and Nifty50 ending just short of 10,800 points mark.
Sensex up 150 points; Nifty ends short of 10,800 mark
Almost all the sectoral indices on BSE and NSE ended in the green.
"With inflation cooling off, it will give way to interest rate cut. We expect an interest rate cut which will lead to higher lending," said Astha Jain, Senior Analyst, Hem Securities.
The Sensex settled up 150.57 points or 0.42 per cent at 35,929.64 touching an intra-day high of 36,095.56 and a low of 35,794.51.
The Nifty50 gained 53.95 points or 0.50 per cent to closed at 10,791.55.
The market was supported by healthy buying in banking stocks. Sentiments were upbeat as the newly appointed Reserve Bank Governor Shaktikanta Das held a meeting with heads of Mumbai-based public sector banks.
The Nifty PSU Bank index gained 1.03 per cent. Banking stocks also rose as RBI is scheduled to purchase government securities and infuse liquidity worth Rs 10,000 crore on Thursday.
Yes Bank shares fell the most on BSE. Shares of the private lender declined steeply after the bank's Board on Thursday could only finalise the Non-Executive Part-Time Chairman position.
Stock-wise, Wipro, Infosys, Kotak Mahindra Bank and Maruti Suzuki gained over 2 per cent.
In contrast Sun Pharma lost 2.12 per cent and TCS, Tata Steel and Adani Ports declined in the range of 1 to 2 per cent.