Despite the increment of the MPR as announced by the FED last week, the market resumed this week, showing signs of positive sentiments on the international market.
Asian stocks appreciated and the US stock futures edged higher while the dollar declined, as fears of broader contagion from the banking turmoil eased.
A gauge of Asian stocks climbed about 0.6%, with benchmark indexes rising in Hong Kong, Australia, and Japan. European futures also gained.
Traders have been cautiously inching toward a risk-on posture as jitters in the banking sector subside. Financial firms led the way on Wall Street on Monday, while energy producers also gained.
Sentiment from the US session flowed across to trading in Australia and New Zealand, where rates on government debt climbed. Meanwhile, a gauge of dollar strength fell for a second day
The S&P 500 banks index (.SPXBK) rose 3.1%, while the KBW regional banking index (.KRX) ended up 0.6%.
JPMorgan Chase & Co (JPM.N) shares climbed 2.9% and Bank of America (BAC.N) added 5%. They were among stocks giving the S&P 500 its biggest boost on Monday.
Sensex ended the day at 40.14 points or 0.07% at 57,613.72. Nifty closed 34 points or 0.20% at 16,951.70.
About 1010 shares advanced, 2448 shares declined, and 97 shares were unchanged.
