Benchmark indices ended higher on Monday, extending their recent rally as investors cheered progress in US-Iran peace talks, lower crude oil prices and gains in Reliance Industries following its annual general meeting.
The S&P BSE rose 291.17 points, or 0.38%, to close at 77,094.07, while the NSE Nifty50 gained 89.80 points, or 0.37%, to settle at 24,102.90.
Both benchmark indices have now risen in six of the last seven trading sessions, helped by easing geopolitical tensions, softer prices and signs that foreign investor selling pressure is moderating.
Reliance Industries emerged as one of the biggest contributors to Monday’s gains, climbing 1.31% after investors reacted positively to announcements made at the company’s AGM.
Technology stocks also staged a recovery after Friday’s sharp selloff triggered by Accenture’s cautious outlook.
Tech Mahindra rose 1.87%, Infosys gained 1.29%, while TCS, HCLTech and other IT counters ended in positive territory, helping the Nifty IT index advance 0.74%.
Among Sensex stocks, Tech Mahindra, Sun Pharma, Reliance Industries, Infosys, BEL and Bajaj Finserv were among the top gainers.
Investor sentiment remained supported by developments in the Middle East after the first round of US- talks ended with progress on a roadmap for a final agreement within 60 days.
The negotiations helped calm concerns over a prolonged disruption in the region and reduced fears surrounding global oil supplies.
Brent crude slipped below the $80-per-barrel mark and was trading around $79.36, down 1.5%. Lower crude prices are particularly beneficial for India as they help contain inflation, reduce import costs and support the rupee.
Sectoral performance remained largely positive, though gains were selective rather than broad-based.
Nifty Media was the top-performing sector, rising 1.42%, followed by Nifty Pharma (+1.24%), Nifty Healthcare (+1.05%), Nifty Oil & Gas (+0.92%) and Nifty Financial Services Ex-Bank (+0.76%).
Banking stocks also remained firm, with Nifty Financial Services gaining 0.65% and Nifty PSU Bank rising 0.54%.
The healthcare pack continued its recent outperformance, reflecting investors’ preference for defensive sectors amid lingering global uncertainties.
The broader market continued to outperform benchmark indices.
The Nifty Smallcap 100 gained 0.60%, while the Nifty Midcap 100 rose 0.34%. Nifty Midcap Financial Services added 0.48%.
India VIX fell nearly 1% to 12.84, indicating reduced market volatility and improving investor confidence.
Vinod Nair, Head of Research at Geojit Investments Limited, said markets traded in a narrow range with a positive bias as investors monitored developments in US-Iran negotiations.
He noted that utilities, banking and healthcare stocks supported the market, while investors increasingly adopted a stock-specific approach.
Nair, however, cautioned that the slow progress of the southwest monsoon remains a concern and could create inflationary pressures if rainfall does not improve in the coming weeks.
Despite that risk, he said the broader outlook remains constructive, supported by resilient earnings growth and continued policy support.
Markets will continue to track developments in US-Iran negotiations, crude oil prices and monsoon progress.
Investors will also watch foreign institutional investor flows, the rupee’s trajectory and upcoming corporate earnings for fresh direction.
For now, lower crude prices, stable macros and improving risk appetite continue to provide support to Indian equities.
(Disclaimer: The views, opinions, recommendations, and suggestions expressed by experts/brokerages in this article are their own and do not reflect the views of the India Today Group. It is advisable to consult a qualified broker or financial advisor before making any actual investment or trading choices.)