Indian domestic indices ended today’s trading session on a positive note. The bulls firmly in control the street throughout the day.
The Sensex surged 2,946 points, or 3.95%, to close at 77,562.90. Similarly, the Nifty climbed 873.70 points, or 3.78%, to settle at 23,997.35, just below the 24,000 mark.
The rally was broad-based.
Key indices help gains throughout the session. The Nifty Bank index also posted a sharp rise of nearly 6%.
Let’s take a look at the key highlights of today’s trade –
Ceasefire boosts global sentiment
One of the biggest factor behind today’s rally was the easing of geopolitical tension.
The United States announced a temporary pause in military action against Iran for two weeks.
On the other side, Iran also signalled acceptance of the ceasefire.
This latest development raised hopes of de-escalation in West Asia, calming global markets.
Volatility drops sharply
The India VIX, often called the market’s fear gauge fell more than 20% during the session.
Sectoral rally drives momentum
The rally was led by rate-sensitive and consumption-driven sectors. Banking and financial stocks surged nearly 6%, while auto and realty indices climbed up to 7%.
Gains were also visible across FMCG, oil & gas, and other sectors as well.
Market wealth sees sharp jump
The total market capitalisation of BSE-listed companies rose to around Rs 446 lakh crore from Rs 429 lakh crore in the previous session. This marks investors richer by nearly Rs 17 lakh crore in a single day.
Crude fall and dollar weakness
Crude oil prices declined sharply. This has eased concerns around inflation for India.
Similarly, the dollar index slipped over 1% to around 98.69.
RBI policy adds stability
On the domestic front, the Reserve Bank of India maintained status quo in its monetary policy.
The Monetary Policy Committee kept the repo rate unchanged at 5.25% and retained its neutral stance.
Top movers of the day
Among individual stocks, gains were led by IndiGo, which rose 8.22%. This was followed by L&T up 7.81%, Bajaj Finance gaining 7.44%, Axis Bank advancing 6.66%, and M&M climbing 6.60%.
On the other side, a few stocks ended lower. This include Power Grid slipping around 0.15%, Sun Pharmaceutical Industries declining nearly 0.4%, and Tech Mahindra falling about 1.45%.
Rally still has room
“The interim ceasefire is seen as a step toward broader regional stability. India benefits immediately from the reopening of the Hormuz Strait, which has pushed oil prices below $100 and reduced downside risks to FY27 EPS growth. The sharp improvement in sentiment has driven a notable decline in the 10‑year bond yield and strengthened the rupee, while the RBI’s status quo stance has further supported financials. Although the Q4 results outlook remains muted, investors are focusing on reasonable valuations and a stable medium‑term earnings trajectory, suggesting that the rally still has room to continue in the near term,” said Vinod Nair, Head of Research, Geojit Investments.