Indian stock markets ended higher on Thursday, with the Bombay Stock Exchange Sensex closing 266 points up at 28,733 and the National Stock Exchange Nifty rising by 90 points, to end the day at 8,867, NDTV reported. The positive movement took place after the United States Federal Reserve decided to keep its policy rates unchanged.

Banking stocks led the gains during the day’s trading, with Punjab National Bank closing 4% higher at Rs 141 per share. Other state-run and private banks including Bank of Baroda, State Bank of India and Yes Bank closed higher in the range of 2%-4%. Meanwhile, Aurobinda Pharma was the top stock on the Nifty, rising by 6% to end at Rs 857. This came after the company said the US Food & Drug Administration gave it tentative approval for one of its products.

European shares also rose to a two-week high as Fed Chairperson Janet Yellen indicated the possibility of rate hikes in the future, Reuters reported. Yellen said that she did not “want the economy to overheat”, even as she said the possibility of a rate hike by the central bank had “strengthened”, according to The Guardian. Head of research at BNP Paribas Fortis Philippe Gijsels said markets were being supported “not only from the inaction of the Fed but also the relatively dovish comment by Janet Yellen”, according to The Economic Times.