Sensex up 350 points; Nifty above 25,900 after Bank of Japan interest rate decision

Stock Market Today: Indian equity benchmarks opened the December 19 session in positive territory, tracking favourable global cues. The upbeat mood was supported by firm cues from the GIFT Nifty futures, which signalled a steady start for domestic markets.

The BSE Sensex was trading at 84,836.38 at around 9:16 am, up 354.57 points, or 0.42 per cent. The index had opened at 84,756.79, compared with its previous close of 84,481.81.

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The Nifty 50 was quoted at 25,911.50, higher by 95.95 points, or 0.37 per cent. The benchmark opened at 25,911.50, above its previous close of 25,815.55.

Global sentiment remained supportive after the Bank of Japan raised interest rates on Friday to levels unseen in nearly three decades, marking another decisive step towards ending prolonged monetary stimulus and near-zero borrowing costs. As widely expected, the central bank raised short-term interest rates to 0.75 per cent from 0.5 per cent, in a unanimous decision.

Investors are now awaiting further clarity, with Bank of Japan Governor Kazuo Ueda scheduled to address a news conference later in the day to explain the policy decision.

At the index level, heavyweight stocks such as TMPV, BEL, Bajaj Finserv, Infosys, Bajaj Finance, Eternal and TCS led the rally. These stocks gained up to 1.78 per cent. On the other hand, Tech Mahindra and HCL Technologies were the only stocks trading in the red in early deals.

Sectoral performance remained firmly positive. All major sectoral indices were trading higher, with the Nifty Healthcare index emerging as the top performer, rising 1.5 per cent. Nifty Pharma gained 1.2 per cent, while Nifty Auto advanced around 0.55 per cent. Nifty FMCG traded marginally higher, and the Nifty PSU Bank index was up 0.39 per cent.

The broader market also mirrored the positive sentiment. The Nifty Midcap index was higher by 0.45 per cent, while the Nifty Smallcap index gained 0.47 per cent.

Across broader NSE segments, gains were seen on a wide front. The Nifty 100 rose 0.44 per cent, the Nifty Midcap 100 advanced 0.40 per cent, and the Nifty Smallcap 100 was up 0.43 per cent at the time of filing this report.