Mumbai, Jul 15 (PTI) Market benchmark indices Sensex and Nifty rebounded in early trade on Wednesday after a sharp decline in the previous session led by bank stocks and a softer-than-expected US inflation data reinforcing expectations that the Federal Reserve may adopt a less aggressive monetary policy stance in the coming months.

The 30-share BSE Sensex jumped 553 points to 77,603.57 in early trade. The 50-share NSE Nifty went up by 148.15 points to 24,198.40.

From the Sensex pack, Bajaj Finance, Axis Bank, Eternal, InterGlobe Aviation, UltraTech Cement and State Bank of India were the major winners.

Infosys, Tata Consultancy Services, Power Grid and Tech Mahindra were among the laggards.

In Asian markets, South Korea's Kospi jumped 7.66 per cent . Japan's Nikkei 225 index and Hong Kong's Hang Seng index traded higher, while Shanghai's SSE Composite index quoted lower.

US markets ended higher on Tuesday.

"Global cues turned relatively supportive overnight. US equities ended higher, with the S&P 500 gaining 0.38 per cent and the Nasdaq advancing 0.90 per cent, after softer-than-expected June CPI data reinforced hopes of a more accommodative Federal Reserve policy," Rajesh Palviya, Head of Research, Axis Direct, said.

Brent crude eased towards USD 85 per barrel after US President Donald Trump withdrew the proposed 20 per cent transit fee through the Strait of Hormuz, he added.

Brent crude, the global oil benchmark, quoted 1 per cent higher at USD 85.63 per barrel.

Foreign Institutional Investors (FIIs) offloaded equities worth Rs 739.69 crore on Tuesday, according to exchange data.

"Providing some support to global sentiment, US consumer price inflation eased to 3.5 per cent in June, below market expectations of 3.8 per cent, indicating that underlying price pressures may be moderating.

"The softer-than-expected inflation reading has reinforced expectations that the Federal Reserve could adopt a less aggressive monetary policy stance in the coming months, offering some relief to global risk assets despite the heightened geopolitical uncertainty," Ponmudi R, CEO of Enrich Money, an online trading and wealth-tech firm, said.

On Tuesday, the Sensex tanked 561.46 points, or 0.72 per cent, to settle at 77,054.94. The Nifty dropped 158.95 points, or 0.66 per cent, to end at 24,052.05. PTI SUM SUM DR DR

Equity market rebound follows softer United States inflation, supporting expectations of a less aggressive Federal Reserve policy stance. Indian benchmark equity indices rebounded in early trading, supported by bank and selected large-cap shares after the preceding session's decline. Softer-than-expected United States consumer inflation strengthened expectations of a less aggressive Federal Reserve monetary-policy stance and supported global risk sentiment. Stronger United States equities, generally positive Asian markets, Brent crude movements and foreign institutional investor equity sales were identified as relevant market factors.