Nifty posts longest winning streak in a year on Fed cut, trade deal hopes

Markets gain on Fed rate cut hopes, US trade deal optimism, and GST-driven sentiment boost

Indian equity benchmarks gained, and the Nifty posted its longest daily winning streak since September 2024 amid increasing bets on Fed rate cuts and renewed hopes of a trade deal with the US.  

The Goods and Services Tax (GST) rate cuts, announced earlier this month to stimulate consumption, further boosted sentiment.

The Sensex on Friday ended the session at 81,905, a gain of 356 points or 0.4 per cent. The Nifty, meanwhile, ended the session at 25,114, a gain of 108 points or 0.4 per cent.  

Nifty gained for the eighth consecutive session. For the week, both indices ended with a gain of 1.5 per cent, the best weekly gain 

this quarter.  

The total market capitalisation rose by ₹1.54 trillion to ₹458.7 trillion. Investors are expecting the US Federal Reserve to cut interest rates next week after the August jobs data showed a slowdown. Despite the tailwinds and recent gains, the Sensex remains 4.6 per cent and the Nifty 4.2 per cent away from their all-time highs hit last year.