Indian Stocks Rise Despite Fed Rate Hike Fears

Indian equities concluded Thursday's trading session with marginal gains, as market participants absorbed the US Federal Reserve's rate increase, which had been largely factored into valuations. This advance marked the second consecutive day of gains for key benchmark indices, though they remained below previous week highs. The Indian rupee, however, continued its descent, reaching multi-week lows amid escalating worries of accelerated foreign investor divestment following the Fed's policy adjustment.

The rate hike, a quarter percentage point increase bringing the federal funds rate to a range of 3.75% to 4%, was widely foreseen. Fed policymakers also indicated the possibility of further increases later in the year, citing persistent inflationary risks and robust economic activity. Meanwhile, crude oil prices extended their decline for a second day, influenced by reports of Saudi Arabia's plans to rapidly restore significant oil production capacity.