Equities seen higher on positive global cues

Equities are likely to edge higher on Thursday tracking advances in global markets after the US Federal Reserve eased investor concerns about an aggressive interest rate hike. Short covering is also expected with the June series derivative contracts' expiry today. The Federal Reserve held its key interest rate steady at 2 per cent and reduced expectations for a rate hike at its next meeting. Stocks were buoyed by Fed comments downplaying the potential for a deeper US economic slowdown, but uncertainty about inflation kept gains in check. The US central bank signalled on Wednesday it was in no hurry to raise rates any time soon, supporting government bond prices that had been sold off sharply on expectations central banks around the world would tackle price pressures aggressively.