Stock Market India: Sensex, Nifty rise 1% to jump to over one-month highIndian shares rallied more than 1 per cent on Monday to climb to an over one-month high and extend their weekly gains to the third week, driven by hopes major central banks pivot away from ultra-aggressive tightening policy.The 30-share S&P BSE Sensex rose 786.74 points, or 1.31 per cent, to end at 60,746.59, and the NSE Nifty 50 index climbed 225.40 points, or 1.27 per cent, to close at 18,012.20, after both benchmarks had closed with gains in their previous two sessions.UltraTech Cement, Mahindra & Mahindra, HDFC, Sun Pharma, HDFC Bank, Larsen & Toubro, Bajaj Finserv, and Bajaj Finance were the top gainers from the Sensex pack.Dr Reddy’s, IndusInd Bank and NTPC closed lower.“Investors are hoping for a smaller rate hike by the US Federal Reserve this week against the earlier expectation of a more aggressive rate increase. This optimism has fuelled a sharp upsurge, which has pushed both the local benchmark indices above their key psychological levels,” said Shrikant Chouhan, Head of Equity Research for Retail at Kotak Securities.Both indices have jumped over 5 per cent for the month due to corporate earnings reports and expectations for major central banks to adopt a less aggressive approach.”The US economy’s strength indicates a lower pr,obability of an immediate US recession and indicates that inflation is plateauing. This might enable the Fed to moderate their hawkish stance slightly,” V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, told Reuters.Canadian and Australian central banks have hiked rates below expectations, and if this trend spreads, that will favour the continuation of the rally in the short term, Mr Vijayakumar added.But at the start of another hectic week of earnings and crucial central bank decisions, European equities erased early gains, and US share futures declined after posting their best two-week rally since November 2020.
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