1 day Ago By Ananya Chaudhuri
The dollar index, which measures the greenback's might against major six currencies across the world, hit a fresh one-year low of 100.22 on late Wednesday following the first rate cut by the US Federal Reserve in over four years. The dollar index was trading 0.
58% higher at 101.18 as of 08:15 a.m.
, compared to Wednesday's close of 100.60. The yield on the benchmark US 10-year Treasury note rose to 3.
72% as of 08:44 a.m. It settled at 3.
65% on Wednesday. Most share indices in the Asia-Pacific region rose on Thursday as the risk appetite among traders fuelled after the US Federal Reserved delivered a half-a-percentage point rate cut and projected for more. The Nikkei 225 rose nearly 3% after the Japanese yen declined against the US dollar as the Bank of Japan commenced its two-day policy meeting.
The index was trading 997.52 points or 2.74% higher at 37,377.
69 as of 08:03 a.m. The S&P ASX 200 was trading 23.
60 points or 0.29% higher at 8,165.70 as of 08:04 a.
m. The KOSPI index was 15.05 points or 0.
58% down at 2,560.36 as of 08:04 a.m.
The US Federal Open Market Committee brought down the federal fund target range to 4.75–5.00% from two-decade high of 5.
00–5.25%. The median projection showed that the rate-setting panel may go for another 50 bps-point rate cut by the end of 2024.
The GIFT Nifty was trading above 25,400 in early trade on Thursday. Market participants may focus on share prices of Nazara Technologies Ltd., Macrotech Developers Ltd.
, and Aditya Birla Capital Ltd. Nazara Technologies Ltd. raised funds by issuing preferential shares, while Macrotech Developers will acquire additional stakes in a Maharashtra-based digital infrastructure firm.
The GIFT Nifty was trading 0.22%, or 57 points higher at 25,412.00 as of 06:31 a.
m. The overnight development in the US Federal Reserve policy meet outcome is expected to have a substantial impact on global markets and is likely to set the intermediate trend for the NSE Nifty 50 and BSE Sensex, said Osho Krishan, a senior analyst, technical and derivatives, Angel One Ltd. "On the level-specific front, 25,300-25,200 is anticipated to cushion any upcoming blips, while the sacrosanct support is placed at the pivotal zone of 25,000.
On the higher end, 25,450-25,500 is expected to provide some resilience in the short run, followed by 25,600," Krishnan said. The NSE Nifty 50 and BSE Sensex reversed a two-day winning streak on Wednesday, after hitting fresh high during the session. Both the benchmarks ended 0.
16% lower each, while the volatility increased before the US Federal Open Market Committee cut rates by 50 basis points to 4.75–5.00% on late Wednesday.
The US rate-setting panel cut its benchmark rates for the first time since March 2020. It's also the first rate cut since it started its aggressive rate-hike campaign in March 2022 when US inflation rose to a 14-year high..
