FX.co ★ Indian Stocks Rise to 1-Month High

Indian equities rose for the third straight session on Wednesday, reaching their highest level in a month, bolstered by gains in the financial sector. This reflects optimism that increased liquidity and eased financial conditions could stimulate economic growth. The S&P BSE Sensex climbed 0.2% to reach 75,450, while the Nifty 40 rose 0.3% to 22,910. Key players such as IndusInd Bank, the State Bank of India, HDFC Bank, and Axis Bank saw gains between 0.7% and 1.7%, continuing the sector's robust performance. This rise comes amid slower inflation, which has allowed the Reserve Bank of India to increase liquidity and adopt a more flexible approach in managing the rupee. Additionally, Tata Steel surged nearly 3% following government recommendations to impose a temporary tax on certain steel imports, mirroring protectionist measures in other Asian nations in response to China's metal dumping. Conversely, investors began shifting away from Indian technology stocks, favoring Chinese firms, leading to further declines in companies like Infosys and HCL Tech.