Indian shares edged up in early trade on Thursday to hover near record highs, led by metal and banking stocks, as investors overlooked signs of a slightly hawkish tilt by the U.S. Federal Reserve overnight.
The blue-chip NSE Nifty 50 index was up 0.65% to 17,661.45 by 9:16 am, and the benchmark S&P BSE Sensex rose 0.62% to 59,294.41.
Overnight, the Fed said it would likely begin tapering its monthly bond buying as early as November, and indicated it could raise interest rates sooner than expected.
In Mumbai, metal stocks advanced 1.5%, with Tata Steel and Hindalco Industries jumping more than 2% each to lead gains on Nifty.
Bank stocks recuperated from Wednesday’s losses to rise 1%, with Punjab National Bank gaining about 2%.
Shares in broader Asian markets advanced, supported by assurance of not making default on debt payment by embattled China Evergrande Group, though default risks still remained for the property giant.