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Home / Business and Economy / Sensex, Nifty Surge on Fed Rate Cut Hopes and U.S.-China Deal Prospects

Sensex, Nifty Surge on Fed Rate Cut Hopes and U.S.-China Deal Prospects

Summary

  • Sensex and Nifty trade higher on expectations of Fed rate cut
  • Prospects of a U.S.-China trade deal boost investor sentiment
  • FIIs offload equities, but DIIs buy stocks worth ₹2,492.12 crore
Sensex, Nifty Surge on Fed Rate Cut Hopes and U.S.-China Deal Prospects

On October 29, 2025, the Indian equity markets are trading higher, with the Sensex climbing 125.93 points to 84,904.77 and the Nifty gaining 39.8 points to 26,005.85. The rally is driven by two key factors: the expectation of a rate cut by the U.S. Federal Reserve and the prospects of a trade deal between the United States and China.

The positive sentiment in the markets is also reflected in the performance of global peers, with U.S. markets ending in positive territory on the previous trading day. Domestic institutional investors (DIIs) have been net buyers, purchasing stocks worth ₹2,492.12 crore, while foreign institutional investors (FIIs) have offloaded equities worth ₹55.58 crore.

Analysts attribute the upbeat market sentiment to a combination of factors, including a softer U.S. consumer price index (CPI) that boosts rate cut hopes, the possibility of a U.S.-China trade deal, recent FII inflows, record-high Wall Street indices, and a strong start to the second-quarter earnings season.

Disclaimer: This story has been auto-aggregated and auto-summarised by a computer program. This story has not been edited or created by the Feedzop team.

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The article suggests that there are prospects of a U.S.-China trade deal, which is seen as a near-term positive for the Indian market.
The Sensex and Nifty have been trading higher, with the Sensex climbing 125.93 points to 84,904.77 and the Nifty gaining 39.8 points to 26,005.85 on October 29, 2025.
The article indicates that the market expects the Federal Reserve to cut rates in the FOMC meeting on October 29, 2025, as the U.S. CPI inflation is not as high as feared.

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