Indian Markets Rally Despite Geopolitical Tensions; Sensex Surges 677 Points
Mumbai : India’s stock markets displayed strong resilience on Monday, shrugging off escalating tensions between Israel and Iran. Investors maintained their focus on long-term fundamentals, resulting in sharp gains across the board.
The Sensex jumped 677.55 points (0.84%) to close at 81,796.15, after touching an intraday high of 81,865.82. The Nifty also advanced 227.9 points (0.92%) to settle at 24,946.50, reflecting bullish sentiment.
“The index witnessed a sharp rally as it reclaimed the 21-EMA after a brief dip,” said Rupak De, Senior Technical Analyst at LKP Securities. “A rally toward 25,350 looks highly probable once Nifty decisively crosses the 25,000 mark, with support at 24,850.”
Broader markets mirrored the upbeat mood ; Nifty Midcap100 rose 0.93%, while Nifty Smallcap100 climbed 0.95%. All sectoral indices ended in the green, with Nifty IT topping the charts (up 1.57%), followed by Realty (1.32%), Oil & Gas (1.11%), and Metal (1.07%). Banking, pharma, FMCG, media, and energy sectors also posted solid gains.
Top Sensex gainers included Ultratech Cement, Tech Mahindra, HCL Tech, TCS, Kotak Mahindra Bank, and Infosys, with gains of up to 2.4%. On the flip side, Tata Motors declined by 3.76%, making it the biggest laggard. Sun Pharma also closed in the red.
The India VIX, the market’s volatility gauge, eased by 1.6% to 14.83, indicating lower near-term market fear.
Vinod Nair, Head of Research at Geojit Financial Services, commented: “Despite geopolitical tensions, large-cap buying pushed the indices higher. Going forward, any sign of de-escalation in the Middle East will be closely watched, especially as small-cap stocks may see limited upside due to rich valuations.”
Overall, Monday’s rally underscored investor confidence in the Indian economy’s strong fundamentals amid a turbulent global backdrop.
