A rally on the cards on upbeat global cues

SGX Nifty:

Trading of Nifty 50 index futures on the Singapore stock exchange indicates that the Nifty could advance 245 points at the opening bell.

Global markets:

Overseas, Asian stocks are trading higher on Thursday following overnight gains on Wall Street, while the US Federal Reserve announced its first rate hike in more than three years.

US stocks rallied in a wild session after the Federal Reserve raised rates and said it would hike another six times this year.

The Fed announced at the conclusion of its two-day meeting Wednesday that it will increase short-term interest rates by a quarter of a percentage point, a well-telegraphed move by the central bank as it seeks to control surging inflation. The Fed forecast a consensus funds rate of 1.9% by year's end, which would mean a hike at each of the remaining central bank meetings this year.

Fed Chair Jerome Powell, speaking after the end of the latest two-day policy meeting, said the economy is strong enough to weather the rate hikes and maintain its current strong hiring and wage growth, and that the Fed needed to now focus on limiting the impact of price increases on American families.

Meanwhile, the International Court of Justice (ICJ) ordered Russia on Wednesday to stop the military actions it started in Ukraine on February 24. "The Russian Federation shall immediately suspend the military operations that it commenced on February 24 in the territory of Ukraine," the court said. The judges added Russia must also ensure that other forces under its control or supported by Moscow should not continue the military operation.

Crude oil lost ground for the fifth time in the last six days on Wednesday as traders reacted to hoped-for progress in Russia-Ukraine peace talks and a surprising increase in US inventories.

Domestic markets:

Back home, domestic equity market rallied on Wednesday, tracking positive global stocks. The barometer index, the S&P BSE Sensex, surged 1,039.80 points or 1.86% at 56,816.65. The Nifty 50 index gained 312.35 points or 1.87% at 16,975.35.

Foreign portfolio investors (FPIs) bought shares worth Rs 311.99 crore, while domestic institutional investors (DIIs), were net buyers to the tune of Rs 772.55 crore in the Indian equity market on 16 March, provisional data showed.

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