Market rally on strong economic data,rate cut optimism

The Indian equities closed higher on Wednesday, with auto and financial stocks leading gains as easing U.S. retail inflation strengthened expectations of a September Federal Reserve rate cut, while cooling domestic price pressures boosted investor optimism.At close, the Sensex was up 304.32 points or 0.38 percent at 80,539.91, and the Nifty was up 131.95 points or 0.54 percent at 24,619.35. 
Apollo Hospitals, Hindalco Industries, Hero MotoCorp, Dr Reddy's Labs, Cipla were top gainers on the Nifty, while losers included IndusInd Bank, UltraTech Cement, Adani Ports, Titan Company, ITC.On the sectoral front,all sectoral indices ended in the green with auto, metal, pharma up 1 percent each.BSE Midcap and Smallcap indices rose 0.5% each.
Rupee Close:
On 13 Aug'25,the Indian rupee rose 21 paise, or 0.32 per cent, to close at 87.49 against the dollar on Wednesday, after domestic retail inflation eased to an eight-year low of 1.55 per cent in July.
Trading Guide: 
Vinod Nair, Head of Research, Geojit Investments stated,Indian equities experienced a broad-based optimism as CPI hit an eight-year low, boosting hopes for a revival in discretionary spending, led by autos and metals. Midcaps outperformed, reflecting strong investor appetite.
Globally, sentiment improved on the extension of China’s tariff deadline and easing oil prices. Despite uncertainties around Trump’s trade stance and global risks, India’s growth-inflation dynamics remain favourable for FY26 with risk to marginal downgrade based on tariff updates. India looks forward to the Trump - Putin meet dated 15th August.

Market experts recommended five shares to buy on Wednesday-Tbo Tek, Wockhardt, Hubtown, Acme Solar Holdings, and Diffusion Engineers.

(Business Correspondent)