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Updated December 20th, 2023 at 09:04 IST

Nifty set to open at record high as indicated by GIFT Nifty

Asian shares climbed after China's central bank left its benchmark lending rates unchanged as expected.

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Nifty hit a record high of 21,505.05 on Tuesday, extending its streak of scaling new all-time highs | Image:Unsplash
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Indian equity benchmarks indices are set to open at record highs on Wednesday as indicated by Nifty futures traded on GIFT Nifty on IFSC in Gandhinagar. The GIFT Nifty futures rose 88 points or 0.41 per cent to 21,616 amid strong cues from other Asian markets.

Asian markets were trading higher with Japan's Nikkei rising 1.72 per cent, Hong Kong Hang Seng advancing 0.96 per cent, South Korea's KOSPI rising 1.18 per cent and STRAITS Times up 0.13 per cent.

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Asian shares climbed after China's central bank left its benchmark lending rates unchanged as expected.

On Tuesday, the Bank of Japan kept rates steady and maintained its dovish policy guidance, while giving no indication of an end to its negative interest rate regime.

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Wall Street equities closed higher overnight, while US Treasury yields fell as a rate cut fever lingered despite push back from several Federal Reserve officials.

The odds of a 25 basis points rate cut in March 2024 rose to 68.4 per cent on Wednesday, compared to 39.7 per cent a week ago, according to the CME FedWatch tool.

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Brent crude futures rose to $79 per barrel, as attacks by Yemen's Iran-aligned Houthi militants on ships in the Red Sea disrupted maritime trade, but are still down 7.79 per cent for the year.

Back home, Nifty hit a record high of 21,505.05 on Tuesday, extending its streak of scaling new all-time highs to ten of 13 sessions in December so far.

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The Nifty 50 index has gained nearly 7 per cent in the period and is on course for its best month since July 2022.

The rise has been supported by strong domestic macroeconomic data, lower oil prices, sustained inflows from mutual fund investors, record fortnightly foreign purchases and improving US rate outlook.

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Stocks To Watch

Apollo Tyres: Foreign portfolio investor White Iris Investment sold 4.5 per cent stake through open market transactions. Nippon India Mutual Fund picked up 1.9 per cent stake.

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IndusInd Bank: Private lender is likely to sell 2.86 per cent stake in Nippon AMC via block deals, according to reports.

Embassy Office Parks REIT: Blackstone is likely to sell entire 23.59 per cent stake valued at $833 million via block deals, according to a term sheet seen by Reuters.

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Bharat Petroleum: Company to set up polypropylene unit at Kochi Refinery in Kerala at a gross project cost of Rs 5,044 crore.

(With Reuters inputs)
 

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Published December 20th, 2023 at 08:19 IST

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