New Delhi: Taking into account the global trends, the Indian stock market prospects overhauled this Thursday. The BSE Sensex increased by 31.35 points which translates to an increase of 0.56 percent bringing the focus to 77,155.43 at the opening bell along the Nifty 50 index which gained 132 points and or 2.57 percent bringing the number to up to 23,345.20.

Given the surge brought upon in the US markets the overnight trade positively contributed to the market sentiment, particularly soaring inflation data that was noticeably lower and promised at least two interest rate cuts by the Federal Reserve. Additionally, unprecedented earnings announcements from heavyweight US banks including JP Morgan and Goldman Sachs further bred the positive sentiment. Following that, the Asian markets took a similar upward trading direction.

Furthermore, domestically too investors predictions rotated around the Earnings announcements of big companies which included, Axis Bank and Reliance Industries among with Infosys, all of which aimed to revolutionize the Indian market.

Nonetheless, there are still concerns regarding the activities of foreign investors. As per provisional exchange data, foreign portfolio investors have sold shares summing up to Rs 30,307 crore, with Rs 4,534 crore on Wednesday in January alone. This has also contributed to the year-to-date decline of 1.8 per cent in Sensex and Nifty.

According to an analysis of the Indian economy, the Indian financial markets are expected to be quite volatile during the first half of 2025 for a number of reasons both international and domestic. These include uncertainties surrounding US rate cuts, a strengthening dollar, rising bond yields, policies under Donald Trump’s administration, and the upcoming Union Budget.