FX.co ★ Sensex Trades in the Green During Early Hours

The BSE Sensex advanced by 240 points, or 0.3%, reaching 80,476 during Wednesday morning's trading session, effectively recovering from the prior day's losses. This upswing mirrored a significant rally on Wall Street on Tuesday, fueled by decreasing US inflation which has sparked optimism about the possibility of an interest rate reduction by the Federal Reserve in its forthcoming meeting. Domestically, sentiment improved as India's inflation rate dramatically decreased in July, falling below the Reserve Bank of India's targeted 2%–6% range for the first time since 2019. This development has reinforced market speculations that the RBI might contemplate a rate cut later this year. Additionally, the positive mood was further lifted by a report from The Indian Express, hinting at a potential meeting between Prime Minister Modi and US President Trump during his visit to the US next month for the United Nations General Assembly, sparking hopes for progress in the ongoing tariff dispute. All sectors witnessed gains, with metals and healthcare leading the charge. Notable early risers included Tata Motors (up 1.6%), Tata Steel (up 1.2%), and Kotak Mahindra Bank (up 1.0%).