Nifty gains 10 points, Fed meet outcome looms

Shares ended modestly higher after a roller-coaster ride amid lingering uncertainty ahead of the much-anticipated Federal Reserve's two-day policy meet outcome as the benchmark CNX Nifty gained 10 points on the NSE today.
Technology, fmcg, auto and metal related stocks attracted good buying interest. While, financials, energy, capital goods and healthcare counters witnessed selling.
After a sluggish start, key indices traded in a narrow range amid intra-day volatility with lack of direction and remained fragile, as investors turned highly cautious head of FOMC meet announcement.
Sentiment was also lower after the headline inflation accelerated to a six-month high, dashing hopes of a rate cut against the backdrop of new RBI chief's first monetary policy review on Friday.

However, the listless market made some movements towards the tail-end session led by select heavyweights to end with small gains.
Meanwhile, financial markets across globe are bracing for the biggest economic event of the year -- the likely reduction in the U.S. Federal Reserve's stimulus measures and spillover effects on other assets class of the emerging economies.

The US Fed's two-day policy meet is expected to discuss the timing and pace of its tapering of the $85-billion a month bond-buying program, which helped to prop up the US economy since the global financial crisis struck in 2008 along with other emerging markets including India.

The 50-share Nifty hovered between a high of 5,857.80 and a low of 5,804.90 before settling at 5,850.20, a modest gain of 9.65 points, or 0.17 per cent over last close.
Meanwhile, most Asian and emerging markets ended lower ahead of the Federal Reserve's two-day policy meet outcome on Wednesday amid QE tapering uncertainty.
HCL Tech, Dr Reddy, Ranbaxy, Ultracemco, Jindal Steel, TCS, ACC, Sesa Goa, Coal India and Hindunilvr were the key gainers from the Nifty pack.
Key losers included Sun Pharma, Bank of Baroda, Indusind Bank, Axis Bank, ONGC, PNB, NTPC, IDFC, BPCL and Heromotoco.
Turnover in the cash segment dropped to Rs 8,867.24 crore from 12,181.36 crore yesterday. A total of 4,517.45 lakh shares changed hands in 48,70,769 trades. The market capitalisation stood at Rs 62,35,684 crore.