In the barometer index, the S&P BSE Sensex was up 545.35 points or 0.69% to 79,986.80. The Nifty 50 index gained 162.65 points or 0.67% to 24,286.50.

The Sensex and Nifty clocked an all-time high of 80,074.30 and 24,309.15, respectively in today’s trade. Further, the Nifty Bank also hits record high at 53,256.70 in morning trade.

In the broader market, the S&P BSE Mid-Cap index rose 0.86% and the S&P BSE Small-Cap index jumped 0.86%.

The S&P BSE Mid-Cap and S&P BSE Small-Cap index hit an all-time high at 46,863.01 and 53,490.12, respectively. The market breadth was strong.

Among the sectoral indices, the Nifty Private Bank index (up 2.02%), the Nifty Financial Services index (up 1.80%) and the Nifty Bank index (up 1.77%) outperformed the Nifty 50 index.

Meanwhile, the Nifty Media index (down 0.39%), the Nifty IT index (up 0.04%) and the Nifty Oil & Gas index (up 0.03%) underperformed the Nifty 50 index.

Economy:

Rising from 60.2 in May to 60.5 in June, the seasonally adjusted HSBC India Services Business Activity Index pointed to a sharp expansion in output. Demand strength and rising intakes of new business were cited as the key determinants of growth.

Supporting the upturn in total new business was a record expansion in international orders. Asia, Australia, Europe, Latin America, the Middle East and the US were all cited as sources of new work from abroad.

The HSBC India Composite Output Index recovered from 60.5 in the previous month to 60.9, highlighting a sharp rate of expansion that was considerably above the long-run series average. Manufacturing led the rise for the fifth straight month.

Supporting the stronger increase in output were faster expansions in new business at both goods producers and service providers. Aggregate sales rose sharply, helped by a near-record upturn in exports.

Numbers to Track:

The yield on India's 10-year benchmark federal shed 0.11% to 7.001 as compared with previous close 7.009.

In the foreign exchange market, the rupee edged lower against the dollar. The partially convertible rupee was hovering at 83.5225, compared with its close of 83.4800 during the previous trading session.

MCX Gold futures for 5 August 2024 settlement gained 0.86% to Rs 72,171.

The US Dollar index (DXY), which tracks the greenback's value against a basket of currencies, was down 0.06% to 105.66.

The United States 10-year bond yield declined 0.19% to 4.428.

In the commodities market, Brent crude for September 2024 settlement added 7 cent or 0.08% to $86.31 a barrel.

Global Markets:

European stocks advanced on Wednesday, as sentiment remains on edge ahead of two national parliamentary elections, with the U.K. heading to the polls on Thursday followed by France on Sunday.

Most Asian stocks ended higher on Wednesday as investors weighed the possibility of interest rate cuts by the Federal Reserve. This follows comments from Jerome Powell, Chair of the Fed, suggesting recent economic data, including a slowdown in China's service sector, points towards disinflation.

China's Caixin Services PMI for June came in at 51.2, down from 54.0 in May. While still indicating expansion, the pace of growth has weakened.

US stocks continued their upward climb on Tuesday. Investors reacted positively to Powell's comments regarding the "disinflationary path" of the economy, despite data showing a higher-than-expected number of job openings in May (8.14 million). The S&P 500 closed above 5,500 for the first time ever, the Nasdaq Composite achieved a record close, and the Dow Jones Industrial Average also advanced.

While encouraged by cooler inflation, Powell emphasized the need for further evidence before the Fed cuts rates. He noted that recent inflation readings "suggest" a path towards disinflation, but caution is warranted.