Sensex up 1,022 pts, Nifty crosses 26,200 on Fed rate cut optimism

The Indian benchmark indices bounced back from a three-day losing streak on Wednesday, as strong global cues lifted the Nifty above 26,200 amid increasing anticipation of a Fed rate cut in December.The falling crude oil prices on possible Ukraine–Russia peace agreement, also added to the positive sentiments.At close, the Sensex was up 1,022.50 points or 1.21 percent at 85,609.51, and the Nifty was up 320.50 points or 1.24 percent at 26,205.30. BSE Midcap and small-cap indices rose 1.2% each.
JSW Steel, HDFC Life, Bajaj Finserv, Bajaj Finance, Jio Financial were the top gainers on the Nifty, while losers included Bharti Airtel, Asian Paints, SBI Life Insurance.On the sectoral front,all the sectoral indices ended in the green with media, auto, private bank, oil & gas, power, PSU, realty, consumer durables, pharma metal added 1-2%.
Rupee Close: 
On 26 Nov'25,the Indian rupee slipped 1 paisa to close at 89.23 against the US dollar in a range-bound trade on Wednesday, as firm domestic equities and a slide in global crude prices offset the impact of a strengthening greenback.Foreign fund outflows and concerns over geopolitical developments sapped risk appetite in the market, pushing investors towards safe-haven assets, forex traders said.
Trading Guide:
Vinod Nair, Head of Research, Geojit Investments stated, domestic equities experienced significant gains, driven by the festive "Santa Claus rally" in global markets. This uptrend was fuelled by robust retail and domestic institutional investor (DII) inflows, while foreign institutional investor (FII) flows remained modest. On a global scale, market sentiment improved with rising expectations of a U.S. Federal Reserve rate cut in December, alongside softer U.S. yields and a weaker dollar.
Additionally, a 1% decline in crude oil prices helped to ease inflationary concerns.On the domestic policy front, the Reserve Bank of India (RBI) is widely anticipated to implement a 25-basis point rate cut in December, supported by moderating inflation and a dovish stance. Furthermore, increasing optimism surrounding a potential truce between Russia and Ukraine is enhancing risk appetite, fostering a positive outlook for the upcoming year.
Market experts recommended five stocks to buy on Wednesday-Muthoot Microfin, Wonder Electricals, Carraro India, Sansera Engineering, and Stylam Industries.

(Business Correspondent)