MUMBAI, India — Indian equity markets rebounded strongly on Monday, snapping a five-day losing streak as renewed optimism over U.S.-India trade talks lifted investor sentiment.
Markets recovered sharply after comments by U.S. Ambassador to India Sergio Gor, who said trade discussions between the two countries could begin as early as Tuesday. The remarks sparked broad-based buying across sectors and helped benchmark indices claw back steep intraday losses.
The Sensex surged nearly 1,100 points from its session low before closing at 83,878, up 302 points, or 0.36 percent.
On the National Stock Exchange, the Nifty staged a similar recovery, rising from an intraday low of 25,473.40 to a high of 25,813.15 before settling at 25,790, a gain of 107 points, or 0.42 percent.
“While momentum indicators remain broadly bearish, the 100-day EMA (25,540–25,600) acted as a crucial support and helped initiate the bounce,” a market analyst said. “Immediate resistance is placed at 25,800–25,870, which remains the next key hurdle.”
Despite the rebound in frontline indices, broader markets continued to lag. The Nifty MidCap index edged down 0.05 percent, while the Nifty SmallCap index declined 0.52 percent, reflecting continued caution among investors.
Attention is now turning to upcoming economic data and policy events. December retail inflation figures based on the consumer price index are due later in the day, while investors are also watching the Union Budget scheduled to be presented on February 1, 2026.
Commodities stocks outperformed during the session, led by gains in metals amid renewed buying interest linked to supply constraints.
“Value buying was also evident in consumer and banking stocks, as investors sought opportunities after recent corrections, supported by expectations of stronger Q3 earnings and improving demand,” the market watcher said. (Source: IANS)
