Equity Alert
Indices open higher as IT stocks gain on Fed rate cut hopes
This story was originally published at 09:54 IST on 25 August 2025
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Equity Alert: Indices open higher as IT stocks gain on Fed rate cut hopes
MUMBAI--0930 IST--Domestic benchmark indices opened higher after the sharp losses suffered Friday. Information technology stocks such as Infosys, Wipro, Tech Mahindra, and Tata Consultancy Services were up 2-3% and led the gains on the Nifty 50. However, heavyweights such as ICICI Bank and Bharti Airtel were in the red and capped the gains.
At 0928 IST, the Nifty 50 was at 24942.45 points, up 72.35 points or 0.3%, and the BSE Sensex was at 81562.40 points, up 255.255 points or 0.3%. Most stocks in the Nifty 50 were in the positive territory, and gains were broad-based with most sectoral indices gaining.
The Nifty IT was up nearly 2%, with all constituents trading higher. Sentiment in the sector was boosted after US Federal Reserve Chair Jerome Powell in his speech at the Jackson Hole Symposium hinted at the possibility of a rate cut in September. All broader market indices also gained. The Nifty India Defence was up nearly 1%.
Among other stocks, YES Bank was up over 2% and was among the top gainers on the Nifty 200 after the Reserve Bank of India approved Sumitomo Mitsui Banking Corp.'s proposal to acquire up to 24.99% stake in the private lender. Reliance Power hit a 5% lower band at INR 46.46 after its former chairman Anil Ambani's loan account was classified as fraud by Bank of India. The fall came despite the company clarifying that the bank's action will not have any bearing on its operations. (Akash Mandal)
Equity Alert: Seen flat to higher; Nifty 50 may recover to 25000 near term
MUMBAI--0815 IST--Benchmark indices may recover after a slow start Monday in a holiday-truncated week, analysts said. The Nifty 50 may recover above the 25000 level near term, but further upside is seen capped with 25250-25300 points seen as a major hurdle. On Monday, the 50-stock index is likely to move in a range of 24750-25000 points.
"The resurgence of call writing at higher levels (in the Nifty 50 options chain), coupled with put unwinding at key strikes, adds weight to a near-term weak structure...unless the index (Nifty 50) moves above 25150, upside momentum will remain restricted," Dhupesh Dhameja, derivatives research analyst, SAMCO Securities, said in a note. "Holding above the make-or-break 24800 mark is essential to avert further downside."
The Nifty 50 derivatives contracts suggest a flat to slightly higher start for the market. At 0806 IST, the GIFT Nifty 50's August contract was at 24950 points, 47.50 points lower than its previous close but higher than Friday's close of the spot market. The September contract was at 25088.50 points, lower by 46.50 points from its previous close, suggesting it may cross 25000 level in near term. On Friday, the Nifty 50 had closed at 24870.10, down 213.65 points or 0.9%. The BSE Sensex had ended the session at 81306.85 points, down 693.86 points or 0.9%.
Indices in the US surged Friday, with the Dow Jones Industrial Average notching a fresh high, after US Federal Reserve Chair Jerome Powell signalled a rate cut in September in his speech at the Jackson Hole Symposium. All Asian markets were also higher in early trade Monday, tracking the overnight gains in the US. (Akash Mandal)
Equity Alert: Asian indices higher in early trade post Fed Powell's speech
MUMBAI--0803 IST--All Asian indices were higher in early trade Monday, taking positive cues from the US market which surged after US Federal Reserve Chair Jerome Powell hinted at a likely interest rate cut at the Fed's September meeting. Indices in Hong Kong lead the the gainers followed by those in China.
Powell in his Jackson Hole Symposium speech hinted at a possible rate cut in the near term, and said the jobs and inflation data will also be taken on board before rate cut decisions. Now, the traders see an 87% chance of a cut in interest rates during the central bank's September meeting, which is way higher than around 70% chance debated earlier.
At 0802 IST, Hong Kong's benchmark Hang Seng was up 1.8%, led by a surge in technological stocks. The index extended gains for the second straight session. China's CSI 300 was up 1.3%. Meanwhile, Japan's Nikkei 225 and Topix were 0.7% and 0.3% higher, respectively, in early trade. Metal and automobile stocks gained traction.
FTSE Singapore Straits Times was marginally higher. Market participants are awaiting Singapore's consumer price index for July. Australia' S&P ASX 200 was also marginally higher.
Following were the levels of key Asian indices at 0802 IST:
|
INDEX |
LEVEL |
CHANGE IN % |
|
CSI 300 Index |
4432.645 | 1.25 |
|
Hang Seng Index |
25792.31 | 1.79 |
|
Nikkei 225 Day |
42914.02 | 0.66 |
|
TOPIX FIRST SECTION |
3111.15 | 0.33 |
|
KOSPI |
3198.73 | 0.95 |
|
FTSE Singapore Strait Times |
4254.24 | 0.03 |
|
S&P/ASX 200 Index |
8972 | 0.05 |
(Gopika Balasubramanium)
Equity Alert: US mkt surges on Powell's dovish comments, Dow at record close
MUMBAI--0734 IST--Equity indices in the US closed higher Friday as markets took comfort from US Federal Reserve Chair Jerome Powell's dovish comments during his speech at the Jackson Hole Symposium. Investors showed huge buying interest in US stocks, taking the Dow Jones Industrial Average to an all-time closing high. The S&P 500 gained after five consecutive sessions of losses.
Powell hinted at a near-term interest-rate cut, which could be during the September meeting, but also stressed on the importance of jobs and inflation data, which are due this week. After cutting federal funds rates by 50 basis points during September 2024 and 25 bps in November and December each, the US central bank has held rates steady. Currently, the rate stands at 4.25-4.50%.
Traders now bet on an 87% chance of an interest rate cut during the Fed's September meeting, much higher than the 70% probability before Powell's comments. "Powell did what central bankers do best at Jackson Hole — he kept the door open," Nigel Green, chief executive of deVere Group, was quoted as saying by Reuters. "A cut in September would reassure households and businesses that the central bank is not asleep at the wheel. Delaying only raises the odds of a harder landing."
The Dow Jones Industrial Average ended Friday's session 1.9% lower at 45631.74 points, its highest level since Dec.4, 2024. Meanwhile, S&P 500 closed at 6466.91 points, up 1.5%. The Nasdaq broke a three-day losing run to close 1.9% higher at 21496.535 points. Some sectors such as housing, consumer goods, and utilities rose in anticipation of a near-term interest rate cut.
Following are the closing levels of US indices Friday:
| INDEX | LAST LEVEL | CHANGE IN % |
| Dow Jones Industrial Average | 45631.74 | 1.89 |
| NASDAQ Composite | 21496.54 | 1.88 |
| S&P 500 | 6466.91 | 1.52 |
(Gopika Balasubramanium)
US$1 = INR 87.44
End
Edited by Tanima Banerjee
All prices from National Stock Exchange, unless otherwise specified.
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