Markets seem on track to snap their three-day losing streak with the BSE Sensex trading 0.29% higher at 20,743.23 points as Turkey's decision to hike interest rates stirred hopes that the move would stem the sell-off being seen in emerging markets. On Tuesday, Reserve Bank of India (RBI) decided to raise its repo rate by 25 basis points. † † † † †
Among sectoral indices, except for BSE Metal Index, all indices were trading in the green. BSE Metal Index was 1% down, while BSE Capital Goods Index was the biggest gainer with 1.44%. Among individual stocks, Maruti Suzuki (9.01%), BHEL (4.35%) and Hero MotoCorp (2.92%) were the biggest gainers on the Sensex. †
Meanwhile, most Asian indices were in the green. KOSPI (1.26%), Jakarta Composite (1.88%), Shanghai Composite (0.56%) and Hang Seng (0.82%) traded higher. Meanwhile, Straits Times was down 0.53%.
FIIs have net bought about $75 million worth of Indian shares in January but experts suggest the pace of buying is slowing down. Industry watchers believe that fears of a more aggressive cut in quantitative easing loom, which might impact FII flows to emerging markets such as India.
On Wednesday, the Dow Jones Industrial Average had ended up 0.57%, while Nasdaq Composite was up 0.35%.