Markets hit record highs, end the day slightly up
Both the benchmark indices scaled lifetime highs during the session before settling marginally higher as positive global cues lifted investor sentiment. The move was driven largely by growing hopes of a U.S. Federal Reserve rate cut and renewed foreign fund inflows.
What moved the market
- Fed rate-cut expectations: Softening expectations around U.S. monetary policy eased risk aversion, encouraging buying in equities.
- Foreign inflows: Fresh capital from overseas investors helped push valuations higher and supported market breadth.
- Global trends: Positive performance in major overseas markets added momentum to domestic trading.
Market dynamics and sentiment
Investors briefly drove the indices to record intraday levels, reflecting an optimistic mood. Profit-taking and cautious positioning later in the session meant the gains narrowed, leaving a modest upside at close. Overall sentiment remains constructive but watchful as traders assess incoming economic data and central bank commentary.
What to watch next
- Further signals from the U.S. Fed and global policy makers.
- Continuing foreign portfolio flows and how they influence market direction.
- Key domestic economic indicators and corporate earnings that could set near-term trends.
In short: The market showed resilience, reaching new highs before ending the day with small gains, driven by hopes of easier U.S. monetary policy and steady foreign buying.