Nasdaq, Dow scale new all-time highs as US Fed holds rates steady

Global Markets Outlook

The US markets continued their bullish record-high rally after the Federal Reserve announcement kept interest rates steady and also validated the expectations of up to three rate cuts coming in later this year.

The Nasdaq Composite and DJIA reached new all-time highs while the S&P 500 hovered around record levels. At 9:00 pm IST, the S&P 500 was up over half a percent at 5.252.38. The Nasdaq Composite surged 0.54 percent to 16,459.63 and the Dow Jones Industrial Average was up 0.83 percent at 39,836.66. The FOMC’s positive decision on interest rates came in line with market expectations despite the high inflation projected by the economy over the past month.

However, the GIFT Nifty traded flat-to-negative at 22,099.00

European markets also edged higher on Thursday. At 9:00 pm IST, the CAC was up 0.26 percent at 8,182.85 and the FTSE traded 1.93 percent higher at 7,886.80. The DAX traded 0.67 percent higher at 18,136.44.

Also Read: Moneycontrol Pro Panorama | Fed’s last-mile quandary is no worry for markets

Earlier during the day, the Japanese Nikkei reached a new all-time high of 40,823.32, owing to a cheap Yen and strong global cues. The index ended 2.03 percent higher at 40,815.66. The Hang Seng also surged nearly 2 percent to 16,863.10.

The Indian indices also followed the global rally. The Nifty ended 0.79 percent higher at 22,011.95 and the Sensex was up 0.75 percent at 72,641.19.

DIIs net purchased Rs 32,08.87 crore while the FIIs/FPIs net sold Rs 1,826.97 crore.

Crude continued its decline for another day, down 0.71 percent to 80.69. Brent was also down 0.67 percent at 85.37.