The Indian equity markets saw huge relief after yesterday’s crash, following a sharp retreat in global crude oil prices. The Indian rupee too saw some recovery, lifting from the lows of the 92 mark against the dollar. Benchmark indices moved higher as US President Donald Trump signalled that the Iran war may end soon.
The markets ended the session in the green, as the Sensex closed at 78,205.98, gaining about 639.82 points or 0.32%. The NSE Nifty too edged higher, closing at 24,261.6, up 233.55 points or 0.97%. The Nifty Bank index also advanced to 56,950.80, rising 931 points or 1.66%.
Sensex, Nifty | Stock Market LIVE Updates: Nifty holds above 24,100, Sensex up 450 points; small and midcaps steady
“Dalal Street mirrored the improvement in global sentiment after the sharp decline in crude oil prices, following comments from Trump hinting at a possible end to the war. However, elevated levels of India VIX continued to signal underlying uncertainty in the market. Broader markets outperformed the benchmark indices, with most sectors trading in positive territory. Fertilizer stocks advanced after the government prioritised gas allocation to the sector, while oil and gas stocks witnessed some correction due to the curtailment of gas allocation. In the near term, markets are likely to remain in the woods, with investors closely monitoring signs of geopolitical de-escalation. Greater clarity could trigger value buying in sectors that have been most affected by recent volatility,” Vinod Nair, Head of Research, Geojit Investments, said.
5 key highlights from today’s trading session –
Sensex, Nifty recoup lost ground
The day began on a higher note today, snapping Monday’s sharp losses. The Sensex opened at 78,207 and moved between an intraday high of 78,526.25 and a low of 77,745.47, an intraday movement of more than 780 points.
Similarly, the Nifty opened 191 points or 0.79% higher at 24,219 and traded between an intraday high of 24,303.80 and a low of 24,079.95, a movement of over 223 points during the session before closing firmly in positive territory.
Key gainers in today’s trade
Buying interest was visible in several small-cap and midcap stocks. Among the Nifty stocks, Shriram Finance emerged as the top gainer with gains of more than 7%.
The auto segment too witnessed growth as Tata Motors Passenger Vehicles, Eicher Motors, and M&M saw strong buying interest, gaining over 3% during the session.
Among financial stocks, ICICI Bank, Axis Bank, and Kotak Mahindra Bank were also among the stocks that ended the session in positive territory.
Key laggards in today’s trade
The majority of stocks traded in the green, but IT sector stocks like TCS and Infosys faced selling pressure. Select FMCG stocks were also among the key laggards in today’s session.
Shares of Infosys, Eternal, and Reliance saw declines during the day.
Relief rally on lower crude prices
Today’s recovery was largely led by de-escalation in the West Asia conflict as US President Donald Trump suggested that the Iran war may end soon. The impact was reflected in global crude oil prices, which saw a sharp retreat as well.
Brent crude futures, the global benchmark for oil, were trading near the $90 per barrel mark, while the US benchmark for crude oil, West Texas Intermediate futures, were trading near the $88 per barrel mark.
Another factor that helped lift sentiment was the recovery in the Indian rupee. The domestic currency, which hit a record low of 92.33 against the US dollar yesterday, ended today’s trade at 91.80, up 0.57% from its previous close.
Sectoral indices traded mostly higher
On the sectoral front, most indices ended the session with gains.
The Nifty Auto index gained around 3%, while the Nifty Consumer Durables index also rose more than 2% during the session. Other sectors such as financial services, chemicals, realty, metal, pharmaceuticals, media, and healthcare ended higher with gains of over 1%.
Meanwhile, Nifty Cement posted a decline of over 4%, while Nifty IT and Nifty Oil and Gas also posted mild declines.
