Mumbai: All eyes will be on the benchmark indices of the Indian stock market – BSE Sensex and NSE Nifty – after the US Federal Reserve late Wednesday night (Indian time) announced a cut in interest rates by 25 basis points, marking the third consecutive cut in 2024. Domestic equities are expected to react positively to the rate cut announcement. The Fed announced that it will now cut rates only twice in 2025.
The S&P 500 went down 3 per cent to trade below 6,000, the Nasdaq also declined 3.6 per cent to close below the 20,000 mark. Notably, S&P 500 marked the worst Fed policy day since 2001.
Nasdaq, Russell, Nikkei decline
The Federal Reserve Rate cut announcement failed to lift the sentiments and the world markets including SPX, Nasdaq and Russell reacted negatively. SPX went down nearly 3 per cent, Nasdaq fell 3.62 per cent, and Russell 2000 dropped 4.46 per cent.
Meanwhile, Japan’s Nikkei was down by over 1 per cent at 38,653.06 today morning (7:20 am). Meanwhile, the US stock market plunged on Wednesday with the Dow Jones extending its slide by plummeting 1,100 points to mark its worst day since August. The announcement of a cut in interest rates by 25 basis points by the Fed was on expected lines.
SSE Composite Index (Shanghai) declined to 3,368.60 while Japan’s broader Topix Index fell 0.5 per cent to 2,706. The main stock market index in South Korea – Korea Stock Exchange Composite (KOSPI) – traded 1.83 per cent lower at 2,438.63.
GIFT Nifty signals a negative start
Meanwhile, GIFTNifty was trading lower, and trading over 300 points down, indicating a slow start for the Indian stock market. The domestic market has been falling for the last three consecutive days.
The Indian stock markets extended their losses for the third straight session on December 18 2024. The 30-share BSE Sensex dropped 502.25 points to close at 80,182.20. The NSE Nifty declined 137.15 points to finish at 24,198.85.
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World Markets fell after the US Federal Reserve interest rate cut announcement failed to raise the sentiments worldwide. Nasdaq, Dow Jones, Nikkei, Shanghai traded lower. Gift Nifty signals weak start for Indian stock market. Markets Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
