Sensex Jumps 776 Points as Indian Markets End Five-Day Losing Streak
Mumbai–Indian benchmark stock indexes ended a five-session losing streak Monday as a sharp drop in crude oil prices and easing geopolitical tensions boosted investor sentiment.
The Sensex rose 776.29 points, or 1.02%, to close at 76,835.78. The Nifty gained 229.40 points, or 0.96%, to finish at 23,995.95, just below the 24,000 level.
Markets advanced after the United States and Iran paused military strikes, reducing concerns about a prolonged conflict and pushing global crude oil prices lower. The decline in oil prices eased worries about inflation and higher import costs for India, one of the world’s largest crude oil importers.
A market analyst said the Nifty could extend its gains if it remains above the 24,000 level.
“If the Nifty moves and sustains above 24,000, we may witness a continuation of the uptrend towards 24,250–24,300. However, failure to sustain above 24,000 might trigger a correction towards 23,800,” the analyst said.
Eternal, InterGlobe Aviation and Infosys were among the top gainers on the Nifty.
The rally extended beyond large-cap stocks. The Nifty MidCap index rose 1.11%, while the Nifty SmallCap index gained 1.31%.
Most sectoral indexes also closed higher, led by information technology, media and real estate stocks. The Nifty Realty, Nifty Pharma and Nifty Metal indexes ended three consecutive sessions of losses.
The Nifty Oil & Gas index underperformed other sectors despite the broader market advance.
Analysts said improving global sentiment, a stronger rupee, gains in technology stocks and encouraging corporate earnings also supported the rebound.
“Improving global sentiment, a stronger rupee, gains in information technology stocks and encouraging corporate earnings further underpinned domestic markets,” a market analyst said.
The Indian rupee also strengthened, supported by central bank intervention, renewed foreign investment flows, falling crude oil prices and a weaker dollar.
“Global market dynamics have amplified these gains, with plunge in crude oil prices, a retreat in the dollar index, and a renewed risk-on environment,” an analyst said. (Source: IANS)
