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US Market extends gain ahead of the Fed meeting

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Capital Market
Last Updated : Oct 27 2022 | 9:06 AM IST
The US stock market finished higher third straight session on Tuesday, 25 October 2022, amid optimism the Federal Reserve will signal a slower pace of interest rate hikes. Stocks also benefited from another batch of upbeat earnings news from big-name companies like General Motors and Coca-Cola.

At the close of trade, the Dow Jones Industrial Average index advanced 337.12 points, or 1.07%, to 31,836.74. The S&P500 index inclined 61.77 points, or 1.63%, to 3,859.11. The tech-heavy Nasdaq Composite Index increased 246.50 points, or 2.25%, to 11,199.12.

Total 10 of 11 S&P500 sectors inclined, with realty (up 3.9%) issue leading a rally, followed by communication services, consumer discretionary, materials, and utilities issues with a gains of over 2%.

Manufacturing and services data for the US underwhelmed on Monday, indicating Federal Reserve rate hikes are beginning to slow activity. Fed officials have entered a blackout period ahead of the central bank's meeting next week, where it's expected to raise rates 75 basis points. Investors are starting to speculate that the central bank may be approaching the end of its aggressive tightening campaign.

Among Indian ADR, Dr Reddy's Labs added 1.9% to $53.55, HDFC Bank added 1.1% to $61.10, Azure Power Global added 15.3% to $5.29, and WNS Holdings added 1.9% to $83.22. Wipro added 1.3% to $4.70 and INFOSYS was up 1% at $18.62. Tata Motors dropped 0.6% to $24.37 and ICICI Bank declined 0.2% to $22.79.

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First Published: Oct 26 2022 | 11:03 AM IST

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