Bank stocks lead market recovery, Sensex soars 553 points

Market benchmark indices Sensex and Nifty rebounded in early trade on Wednesday after a sharp decline in the previous session led by bank stocks and a softerthanexpected US inflation data reinforcing expectations that the Federal Reserve may adopt a less aggressive monetary policy stance in the coming monthsThe 30share BSE Sensex jumped 553 points to 7760357 in early trade The 50share NSE Nifty went up by 14815 points to 2419840From the Sensex pack Bajaj Finance Axis Bank Eternal InterGlobe Aviation UltraTech Cement and State Bank of India were the major winnersInfosys Tata Consultancy Services Power Grid and Tech Mahindra were among the laggardsIn Asian markets South Koreas Kospi jumped 766 per cent Japans Nikkei 225 index and Hong Kongs Hang Seng index traded higher while Shanghais SSE Composite index quoted lowerUS markets ended higher on TuesdayGlobal cues turned relatively supportive overnight US equities ended higher with the SampP 500 gaining 038 per cent and the Nasdaq advancing 090 per cent after softerthanexpected June CPI data reinforced hopes of a more accommodative Federal Reserve policy Rajesh Palviya Head of Research Axis Direct saidBrent crude eased towards USD 85 per barrel after US President Donald Trump withdrew the proposed 20 per cent transit fee through the Strait of Hormuz he addedBrent crude the global oil benchmark quoted 1 per cent higher at USD 8563 per barrelForeign Institutional Investors FIIs offloaded equities worth Rs 73969 crore on Tuesday according to exchange dataProviding some support to global sentiment US consumer price inflation eased to 35 per cent in June below market expectations of 38 per cent indicating that underlying price pressures may be moderatingThe softerthanexpected inflation reading has reinforced expectations that the Federal Reserve could adopt a less aggressive monetary policy stance in the coming months offering some relief to global risk assets despite the heightened geopolitical uncertainty Ponmudi R CEO of Enrich Money an online trading and wealthtech firm saidOn Tuesday the Sensex tanked 56146 points or 072 per cent to settle at 7705494 The Nifty dropped 15895 points or 066 per cent to end at 2405205This story has been sourced from a third party syndicated feed agencies Midday accepts no responsibility or liability for its dependability trustworthiness reliability and data of the text Midday managementmiddaycom reserves the sole right to alter delete or remove without notice the content in its absolute discretion for any reason whatsoever