Sensex hits record closing high on US inflation print; Nifty ends at 18,350

Softer-than-expected retail inflation triggers global rally

The Sensex logged a new lifetime closing high on Friday after the softer-than-expected US consumer price inflation data triggered a sharp rally in global markets. Investors lapped up risky assets in hopes that inflation in the US might have peaked, and this could encourage the US Federal Reserve to ease its aggressive monetary tightening stance.

Annual consumer price growth in the US slowed to 7.7 per cent in October, the lowest level since January and below the widely expected figure of 8 per cent. The inflation reading led to a slump in the US dollar and spurred one of the biggest