CHENNAI: Shares of several leading Indian companies in information technology, banking, auto and pharma sectors traded higher on Thursday after the US Federal Reserve cut interest rates by 25 basis points and signaled the possibility of more easing later this year. The move boosted investor sentiment across global markets and supported sectoral gains in India, with IT stocks leading the rally.
Information technology majors including Infosys, HCL Technologies, and Tech Mahindra saw gains of around 1 to 1.3 percent. A softer dollar and expectations of increased US spending following the Fed’s policy shift improved sentiment for export-driven IT companies that earn a large share of revenues in the American market.
HDFC Bank, Sun Pharma, and Tata Motors were also among the notable gainers today. HDFC Bank benefited from improved foreign inflows as global liquidity conditions turned more favorable. Sun Pharma advanced on steady buying in defensives, while Tata Motors extended gains on optimism around domestic demand and its global business outlook.
The other stocks made significant gain in the Indian markets on the day include MOIL, Cochin Shipyard, Avenue Supermarts.
Shares of MOIL climbed over 2 percent after the state-owned miner announced exports of manganese ore to Indonesia, a step that underscores its efforts to diversify markets and strengthen international presence.
Cochin Shipyard advanced nearly 2 percent on the back of a ₹2,000 crore contract from ONGC. The order win reinforced confidence in the shipbuilder’s strong order book and earnings outlook.
Avenue Supermarts, parent of the D-Mart retail chain, gained around 2 percent after brokerage firm UBS upgraded its price target. Analysts highlighted the company’s continued focus on value retailing and network expansion, which is expected to drive long-term growth.
Broader indices also participated, with small-cap and mid-cap shares rising about 0.4 percent, reflecting a pick-up in risk appetite.
Analysts noted that the Fed’s rate cut, combined with signals of further easing, boosted appetite for emerging market assets. Lower US rates tend to support capital flows into India, and a weaker dollar enhances the relative earnings potential of export-oriented firms. Stock-specific developments, such as order wins and brokerage upgrades, added momentum to the broader rally.