The Nifty 50 climbed 0.55% to close at 25,898.55, while the BSE Sensex advanced 0.51% to 84,818.13.
Eternal, Tata Steel, Kotak Mahindra Bank, Ultratech Cement and Maruti Suzuki led the advance on the 30-share Sensex, with gains of 1% to 3%.
Broader markets also firmed, as mid-cap and small-cap indices added 1% and 0.8%, respectively.
Metal stocks rose 1.1%, supported by stronger global prices as the U.S. dollar softened in the wake of the Federal Reserve’s rate cut.
The rebound follows a three-session slide in which both the Sensex and Nifty had dropped roughly 1.6%.
Expert views
Domestic markets rebounded broadly following the Fed’s expected 25-bps rate cut amid high U.S. inflation, said Vinod Nair, Head of Research at Geojit Investments, adding that the decline in U.S. 10-year yields indicates a moderation in future FII outflows, which bolstered sentiment. “The auto sector excelled due to anticipated stronger demand, while IT gained traction on the prospect of increased spending. Conversely, other Asian markets experienced selling pressure over concerns about AI-driven valuations and rising Japanese yields, which negatively impacted overall domestic sentiment,” said Nair.
Global Markets
Stocks retreated on Thursday after a weak earnings update from Oracle raised fresh doubts about the near-term profitability of artificial-intelligence investments. Bond markets held steady, and the dollar extended losses following the Federal Reserve’s rate cut.
Oracle shares sank more than 11% in after-hours trading, pulling S&P 500 futures down 0.9% and Nasdaq 100 futures 1.3% in Asian hours. The selloff rippled across AI-linked names in Tokyo after the company forecast softer profit and revenue and signalled higher spending, evidence that heavy infrastructure outlays are not yet translating into returns investors anticipated.
Japan’s Nikkei slipped 1%, weighed down by a 7.5% drop in SoftBank Group, an Oracle partner in the Stargate data-centre venture. Hong Kong’s Hang Seng eked out a 0.06% gain, while MSCI’s Asia-Pacific ex-Japan index fell 0.5%.
Crude impact
Oil prices edged lower on Thursday as investors refocused on Russia-Ukraine peace negotiations and assessed the potential repercussions of the United States seizing a sanctioned tanker off the Venezuelan coast.
Brent crude slipped 1.3% to $61.40 a barrel, while U.S. West Texas Intermediate declined by the same margin to $57.68.
Rupee vs Dollar
The Indian rupee tumbled 54 paise to a record low of 90.48 per dollar in intraday trade on Thursday, pressured by reports that a long-awaited India–U.S. trade deal may not materialise until March 2026.
The dollar index slipped 0.17% to 98.61, extending its decline after the Federal Reserve’s rate cut and a softer-than-expected policy outlook.
(with inputs from agencies)
