Indian stock markets opened on a high note today, with the benchmark Sensex soaring by 352.22 points to reach 76,220.02, while the Nifty climbed 95.65 points to 24,002.80. This surge is largely attributed to a notable decline in crude oil prices, which are now trading at USD 92.66 per barrel, following news of a potential 60-day ceasefire between the US and Iran. Analysts suggest that this development could ease inflationary pressures in India, which has been grappling with rising energy costs.
The rally was further supported by robust buying in the IT sector, with major players like Infosys and Tata Consultancy Services among the top gainers. This positive momentum reflects a broader trend seen in global markets, where indices in South Korea, Japan, and Hong Kong also reported gains. The optimism is palpable, as investors are cautiously hopeful for sustained de-escalation in the Middle East, which could stabilize energy supplies.
However, the backdrop of this rally is not without caution. Foreign Institutional Investors (FIIs) had offloaded equities worth over ₹1,000 crore just a day prior, indicating a volatile market sentiment. While today’s gains are encouraging, the market remains sensitive to geopolitical developments and their potential impact on oil prices and inflation in India. Investors should watch for any formal confirmation regarding the ceasefire, as it could significantly influence market dynamics moving forward.
