Indian stock markets saw sharp rises on Tuesday, with the Sensex closing 440 points higher and the Nifty closing at a 16-month high, NDTV reported. While the Bombay Stock Exchange closed at 28,343, the Nifty rose 1.6% to end trading 137 points higher at 8,744.
Several industries saw high gains in their stocks during trading, with auto and banking shares seeing the best performance. While Ambuja Cements was Nifty’s top stock with a 4% gain, shares of companies like Bajaj Auto, HDFC Bank and Eicher Motors also rose 2%-4%. Companies that did not perform as well included Idea Cellular, Zee Entertainment and Bharti Airtel, which on Monday slashed its prepaid data charges by up to 80% in an effort to compete with new entrant Reliance Jio.
The overall rally came after a global upswing in markets took place because of doubts on whether the United States Federal Reserve will raise its policy rates during its next review in September. It also came a day after the Reserve Bank of India released its Annual Report, in which its governor Raghuram Rajan reiterated the institution’s commitment to bring down Consumer Price Inflation to 5%.