Sensex, Nifty Surge On Trade Deal Hopes; IT Stocks Lead Gains

(RTTNews) - Indian shares rose notably on Wednesday, with U.S. shutdown resolution and growing optimism over a potential trade deal with the United States boosting sentiment.

Meanwhile, pollsters have projected another term for the National Democratic Alliance (NDA) in Bihar with a huge win ahead of the November 14 counting.

Investors also closely monitored the last leg of corporate earnings results and awaited the release of October retail inflation data for possible clues on the RBI's future monetary policy stance.

Crisil and CareEdge Ratings forecast stronger growth prospects for India as foreign inflows return, inflation stays low, and monetary easing remains likely.

IT stocks topped the gainers list today after U.S. President Donald Trump said that 'certain talents' are not available within the country, and that people 'need to learn', in comments that appeared to defend the H-1B visa program.

The benchmark BSE Sensex closed up 595.19 points, or 0.71 percent, at 84,466.51 while the broader NSE Nifty index jumped 180.85 points, or 0.70 percent, to 25,875.80.

The BSE mid-cap and small-cap indexes rose 0.4 percent and 0.8 percent, respectively. The market breadth was strong on the BSE, with 2,499 shares rising while 1,713 shares declined and 161 shares closed unchanged.

Among the top gainers. HCL Technologies, Adani Ports, Bajaj FinServ, TCS, Tech Mahindra and Asian Paints rallied 2-4 percent. Globally, Asian markets turned in a mixed performance while European stocks surged to a new record peak as an effort to end the longest-ever U.S. government shutdown headed to a final vote in the House of Representatives.

Oil prices edged lower after gaining about $1 on Tuesday. Gold steadied after three consecutive sessions of gains.