Global Stock Indices Latest News: Indian Benchmarks Surge to New Highs
Estimated reading time: 5 minutes
- Sensex and Nifty 50 reach new highs driven by sectoral gains and Fed rate cut expectations.
- Strong performance across Auto, Consumer Discretionary, and Telecom sectors.
- Infosys’s large buyback announcement boosts market sentiment.
- Slight rise in US CPI and jobless claims reinforce Fed rate cut bets.
- Indian market surge contrasts with relatively flat trading in other global markets.
Contents
- Sensex and Nifty 50 Rally on Sectoral Gains and Fed Rate Cut Bets
- Market Impact and Performance Across Sectors
- Infosys Buyback and Other Market Movers
- Global Market Comparison
- What to Watch Next
Sensex and Nifty 50 Rally on Sectoral Gains and Fed Rate Cut Bets
At 05:21 UTC on September 12, 2025 (10:51 IST), India’s benchmark stock indices, the Sensex and Nifty 50, surged to new session highs. This significant upward movement was driven by a confluence of factors, including broad-based sectoral strength and a prevailing bullish sentiment fueled by anticipation of substantial Federal Reserve interest rate cuts. This positive market reaction comes despite a slightly hotter-than-expected US Consumer Price Index (CPI) print. The surge in the Indian indices stands in contrast to relatively flat trading in other major global markets in the past 12 hours.
Market Impact and Performance Across Sectors
The rally was characterized by strong performance across several key sectors. The Auto, Consumer Discretionary, and Telecom sectors all registered gains ranging from 0.5% to 1%. This broad-based strength was further amplified by substantial gains from several index heavyweights. Infosys, M&M, Axis Bank, Maruti Suzuki, and Tata Motors all contributed significantly to the overall upward momentum.
The underlying bullish sentiment was surprisingly resilient despite the latest US inflation data. While the August US CPI reading came in slightly higher than anticipated at +0.4% month-on-month (compared to a consensus forecast of approximately +0.2% to +0.3%), the year-on-year figure remained steady at 2.9%, aligning with expectations. Trading Economics Furthermore, a rise in weekly jobless claims to 263,000—an increase of 27,000 and the highest since 2021—Trading Economics reinforced the perception of a softening labor market, further bolstering expectations of aggressive Federal Reserve rate cuts. This expectation appears to have outweighed the slightly hotter-than-expected monthly CPI increase in influencing investor sentiment towards Indian equities.
The immediate market impact was substantial. Both the Sensex and Nifty 50 reached new session highs, with the Nifty 50 extending its winning streak to a seventh consecutive session. The index closed above the 25,000 mark, demonstrating sustained bullish momentum that also extended into mid- and small-cap segments. The positive breadth was evident across the market, with all sectoral indices except for FMCG showing gains.
Infosys Buyback and Other Market Movers
One notable driver of the rally was Infosys. The company announced a ₹18,000 crore buyback—its largest in a decade—leading to a 1.36% increase in its stock price to ₹1,530. Moneycontrol Other major advancers included M&M, Axis Bank, Maruti Suzuki, and Tata Motors. Conversely, notable decliners included Eternal, SBI, Tech Mahindra, HUL, and HDFC Bank. Analysts have subsequently raised near-term Nifty 50 targets to 25,155 and 25,670, suggesting that the “risk-on” sentiment remains intact.
Global Market Comparison
The surge in the Indian indices contrasts with the relatively subdued activity in other major global markets during the same period. US S&P 500 futures remained flat after reaching fresh all-time highs on Thursday. Trading Economics This suggests that the bullish sentiment and market movement observed in India were largely localized and driven by the specific confluence of factors outlined above, rather than a broad global trend.
Live market coverage and official updates from Moneycontrol provided real-time reporting of this significant market event, allowing for precise tracking of the index movements and contributing factors.
What to Watch Next
- Further market reaction to the US CPI data and its implications for future Federal Reserve policy.
- Earnings announcements from major Indian companies, which could influence sector-specific performance.
- The ongoing performance of Infosys following its significant buyback announcement and its impact on the broader index.
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FAQ
What factors contributed to the Sensex and Nifty 50 surge?
