Key Indian equity indices open higher on global cues

Mumbai, Dec 16 (IANS) As traders globally awaited the outcome of the much-followed meeting of the US Federal Reserve, that is widely expected to raise interest rates, Indian equities opened higher on Wednesday in sync with the mood in other markets.

Against the previous close at 25,320.44 points, the sensitive index (Sensex) opened at 25,402.47 points.

Soon after, it was ruling at 25,432.53 points, with a gain of 112.09 points, or 0.44 percent.

At the National Stock Exchange (NSE), the broader 50-share Nifty was ruling at 7,724.80 points, against the previous close at 7,700.90 points, to log a gain of 23.90 points, or 0.31 percent, during first few minutes of trade.

The Sensex had gained 170.09 points, or 0.68 percent on Tuesday, while the Nifty was up 50.85 points, or 0.66 percent.

The Federal Open Market Committee of the US central bank, led by Chair Janet Yellen, is expected to increase rates for the first time since 2006 in a decision that is expected at 12.30 a.m. India time on Thursday.

This could, in turn, signal that the recovery of the US economy is on track, as per its central bank.

“The US markets rose for the second consecutive day as a surge in the oil prices led to gains in the energy stocks. European shares rose with the benchmark Stoxx Europe 600 gaining about three percent,” Angel Broking said in an analysis, ahead of the opening bell for Indian equity markets.

“The European indices broke a five session losing streak helped by rally in the oil and gas shares due to rebound in the oil prices. Indian shares also closed in the green for the second consecutive day. The market took positive cues from the European indices which surged on account of rebound in the crude oil prices.”

Asian markets were also in the positive territory.

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