Sensex close 5.51 pc up on rate cut hopes
Indian shares closed up 5.51 per cent at 9,229 points on hopes that the central bank could lower interest rates as inflation eased further, dealers said.business Updated: Dec 04, 2008 16:51 IST
Indian shares closed up 5.51 per cent on Thursday on hopes that the central bank could lower interest rates as inflation eased further, dealers said.
The benchmark 30-share Sensex rose 482.32 points to 9,229.75.
"With inflation easing further, the RBI could lower rates. Improving global clues aided sentiment," said a dealer
with brokerage Prabhudas Lilladher.
India's inflation rate hit a seven-month-low of 8.4 per cent, according to official data released earlier on Thursday, giving the central bank more room to cut interest rates to stimulate flagging economic growth, analysts said.