Domestic equity benchmarks began Friday’s session on a positive note, mirroring gains across Asian markets after the Bank of Japan (BoJ) delivered its sharpest rate hike in three decades. The Japanese central bank raised its policy rate by 25 basis points to 0.75 per cent, signalling a decisive shift away from its long-standing ultra-loose monetary stance.
At the opening bell, the Nifty 50 climbed to 25,911.50, up 95.95 points or 0.37 per cent, while the BSE Sensex opened higher at 84,756.79, gaining 274.98 points or 0.33 per cent.
Market experts said global cues, especially central bank decisions across major economies, were influencing sentiment.
Markets Fragile, Likely to Stay Range-Bound This Year: Ajay Bagga
Ajay Bagga, Banking and market Expert, told ANI, “Indian markets skirted key support levels and held steady on Thursday, but gave up the day’s gains by the end of the day. The markets remain fragile, with a lack of both conviction and catalysts. There is limited fiscal space with the government as tax revenues remain well below budgeted numbers. The nominal GDP growth rate of 8.7 per cent in Q2, FY2026, is lagging the budgeted nominal GDP of 10 per cent. Hence, at best, we see range-bound markets for the rest of the year. The GST impact on consumption has peaked and is now normalised. The Rupee thankfully has recovered some ground and held its levels”.
Pharma Leads Gains, Midcap and Smallcap Advance
In the broader markets on the NSE, gains were seen across segments. The Nifty 100 rose by 0.44 per cent, Nifty Midcap 100 advanced 0.40 per cent, while the Nifty Smallcap 100 gained 0.43 per cent at the time of filing this report.
Sectorally, Nifty Pharma surged by over 1 per cent, emerging as the top gainer in early trade. Nifty Auto rose 0.55 per cent, Nifty FMCG traded marginally higher, while Nifty PSU Bank gained 0.39 per cent.
Globally, it was an eventful period for central banks. The Bank of England cut rates, the European Central Bank held rates steady, while Mexico and Thailand cut interest rates. Norway and Sweden maintained their policy rates unchanged, highlighting divergent policy paths across economies.
Asian, US Markets Rally on BoJ Rate Hike
Asian markets traded higher on Friday morning after the BoJ’s rate hike pushed Japanese interest rates to a three-decade high of 0.75 per cent. Overnight, US markets snapped a four-day losing streak and rallied sharply after November CPI and Core CPI data came in well below estimates.
Overall, global central bank actions and easing inflation data from the US provided support to equities, even as domestic markets remain cautious amid fiscal and growth concerns.
(Inputs from ANI)
Manisha Chauhan is a passionate journalist with 3 years of experience in the media industry, covering everything from trending entertainment buzz and celebrity spotlights to thought-provoking book reviews and practical health tips. Known for blending fresh perspectives with reader-friendly writing, she creates content that informs, entertains, and inspires. When she’s not chasing the next viral story, you’ll find her diving into a good book or exploring new wellness trends.
