Indian stock market closed in the green on Tuesday, with Sensex and Nifty recording marginal gains while broader markets outperformed sharply.
Sensex jumped nearly 395 points to close at around 73,919, while Nifty 50 rose over 119 points to end the session at 23,242 on Tuesday. This came as India VIX, which measures volatility in the market, fell nearly 9% to 15.56.
IndiGo shares were the top gainers on the Sensex, jumping nearly 4% as oil prices dropped after Israel and Iran halted attacks on each other. State Bank of India (SBI), ICICI Bank, Axis Bank, Bajaj Finance, Asian Paints and Trent shares followed, jumping around 2% each. Bucking the trend, Titan, NTPC, and Power Grid shares dropped around 2% each.
While benchmark indices rose around 0.5% each, broader markets sharply rallied. Nifty Midcap 100 index jumped 1.35% while Nifty Smallcap 100 index surged nearly 1.7%. Sectorally, Nifty PSU Bank rallied 4% to lead gains. Around 2,380 stocks advanced on the NSE, while 904 declined and 112 remained unchanged.
This comes after strong escalations in the Middle East over the weekend. As a result of Iran and Israel halting attacks on each other, oil prices cooled down. Brent crude futures fell around 1% to trade near $93 per barrel, while WTI crude futures declined more than 1% to trade around $90 per barrel.
Meanwhile, a US federal judge on Monday ruled that the $100,000 fee imposed by US President Donald Trump for H-1B applications was unlawful as it was not approved by Congress. "...the Court finds that the Policy imposes a tax on H-1B petitions without the requisite delegation by Congress," US District Court Judge Leo Sorokin said in a ruling.
Here’s what analysts say
Domestic markets are witnessing a mild recovery after the recent sharp decline, supported by a pause in Iran-Israel tensions and softer crude prices, said Vinod Nair, Head of Research at Geojit Investments. He, however, cautioned that the sentiment remains fragile, with continued FII outflows and higher bond yields highlighting persistent concerns around evolving global macro dynamics.
“Focus is now on the upcoming US inflation data, which will be key in shaping expectations on Fed policy and global liquidity, especially given resilient US economic data. In the near term, markets are likely to remain volatile and range-bound, with investors staying cautious until clearer global cues emerge, even as Q4FY26 earnings were slightly better while the outlook for Q1FY27 remains weak,” he added.
(With inputs from agencies)
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
