The US Federal Reserve, in its latest monetary policy meeting, voted to leave the key interest rate unchanged at 5.25-5.50 per cent, keeping the policy rate unchanged for the sixth straight time on the trot.
Rating agency Moody's believes an interest rate cut at US Federal Reserve June's meeting is likely off the table given stubborn inflation in the country.
US Federal Reserve officials expect it would not be appropriate to reduce the key interest rate until they gain "greater confidence" that inflation is moving sustainably toward a comfortable 2 per cent, minutes of its latest monetary policy meeting showed.
Indian stock market indices settled in the red on Tuesday, kicking off a holiday-truncated week in line with Asian peers, with investors now focusing on US inflation data due later this week.
Indian stocks extended their gains to be in the green at opening bell Thursday, largely tracking a rebound in Asian and US peers after hotter-than-expected US inflation pulled them down in the previous session.
The US stocks ended with deep cuts, after sticky US inflation data - more than estimated at 3.1 per cent in January -- triggered worries of further delay in the easing of interest rates. S&P 500 declined about 1.4 per cent Tuesday.
The overarching theme suggests a shift towards a soft landing rather than a recession, supported by falling US inflation and prospects for a more accommodative Federal Reserve policy.
Analysing the daily chart for Nifty 50, market observers noted the formation of a bullish piercing candlestick pattern, suggesting potential bullish momentum in the market.
Monetary policy committee participants in the US were of the view that further tightening of monetary policy would be appropriate if incoming information indicated that progress toward the US Federal Reserve's inflation objective was "insufficient", the minutes of the latest review meeting r
Indian stocks were off to a positive start Wednesday, tracking firm overnight cues from the US markets after softer-than-expected US inflation data supported the view that its central bank may be done raising interest rates.