BENGALURU (Reuters) -Indian shares opened relatively flat on Tuesday, holding steady at record highs as traders paused following a record rally spurred by the U.S. Federal Reserve’s substantial interest rate cut last week.
The benchmark Nifty 50 and S&P BSE Sensex were down about 0.1% each as of 9:25 a.m. IST.
The indexes have scaled all-time peaks for three straight sessions after the Fed cut rates by 50 basis points on Sept. 18.
“Markets are taking a breather after a recent surge in Nifty, however the tone is likely to remain positive,” said Religare Broking’s Ajit Mishra.
While seven of the 13 major sectors logged gains, commodity indexes – Nifty metal and Nifty energy -rose 1.7% and 0.4%, respectively. They emerged as biggest gainers among the sub-indexes.
Asian shares rose as China’s top financial regulators rolled-out a slew of measures, saying it would cut bank reserves by 50 basis points while reducing mortgage rates to try to spur sluggish economic growth. [MKTS/GLOB]
“China stimulus will be favorable for commodity product companies,” said Samrat Dasgupta, CEO at Esquire Capital Investment Advisors.
A slow Chinese economy results in dumping of metals and other commodity products in global markets, affecting local economies, Esquire Capital’s Dasgupta added.
($1 = 83.5300 Indian rupees)
(Reporting by Manvi Pant in Bengaluru; Editing by Mrigank Dhaniwala)
Disclaimer: This report is auto generated from the Reuters news service. ThePrint holds no responsibilty for its content.