Before Market Opens: 9 things to know at 9 am on July 28, 2022

United States Federal Reserve on Wednesday announced that it is increasing interest rates by 75 basis points, or 0.75 percent, in its continued bid to combat inflation. The Federal Reserve said on Wednesday it would not flinch in its battle against the most intense breakout of inflation in the United States since the 1980s even if that means a sustained period of economic weakness and a slowing jobs market.

US equities rose sharply and the dollar lost ground as investors bet the Federal Reserve would slow interest rate hikes following its announcement on Wednesday of an increase in rates in line with expectations. The Dow Jones Industrial Average rose 436.05 points, or 1.37 percent, to 32,197.59, the S&P 500 gained 102.56 points, or 2.62 percent, to 4,023.61 and the Nasdaq Composite added 469.85 points, or 4.06 percent, to 12,032.42.

Shares in the Asia-Pacific region climbed on Thursday following the US Federal Reserve's decision to raise rates by 75 basis points to fight inflation, a move that was widely expected. Japan's Nikkei 225 rose 0.83 percent, while the Topix index added 0.37 percent. In Australia, the S&P/ASX 200 was 0.35 percent higher. The Kospi in South Korea advanced 0.88 percent. MSCI's broadest index of Asia-Pacific shares outside of Japan rose 0.48 percent.

Headline indices the Sensex and the Nifty ended in the green on July 27, tracking positive global cues. After two sessions of losses, Sensex closed with a gain of 548 points, or 0.99%, at 55,816.32 while the Nifty closed at 16,641.80, up 158 points, or 0.96%.

At 8:20 am, the SGX Nifty was trading 101 points or 0.60 percent higher at 16,763, indicating a gap up opening for the Indian markets.

Oil gained more than $1 a barrel on Thursday, extending gains from the previous session, buoyed by improved risk appetite among investors while lower crude inventories and a rebound in gasoline demand in the United States supported prices. Brent crude futures LCOc1 for September rose $1.20, or 1.1%, to $107.82 a barrel by 0158 GMT, after gaining $2.22 on Wednesday. US West Texas Intermediate crude (WTI) futures CLc1 was at $98.70 a barrel, up $1.44, or 1.5%, after rising $2.28 in the previous session.

Foreign institutional investors (FIIs) have net sold shares worth ₹436.81 crore, whereas domestic institutional investors (DIIs) net bought shares worth ₹712.03 crore on July 27, as per provisional data available on the NSE.

The rupee closed 13 paise lower at 79.90 in the previous session as the dollar steadied ahead of the US Fed outcome. However, gains in the equity market capped the fall of the rupee.

Gold prices rose in the international market after the US Fed raised interest rates on expected lines by 75 basis points which kept the dollar and US Treasury yields subdued.