Sensex Soars Over 1,100 Points, Nifty Nears 24,000 as US-Iran Peace Deal Sparks Global Market Rally
Indian benchmark equity indices opened sharply higher on Monday, tracking a strong rally in global markets and a steep decline in crude oil prices after the United States and Iran finalized a landmark agreement to end their 107-day conflict.
The BSE Sensex surged 1,112.70 points to 76,648.74 in early trade, while the NSE Nifty climbed 335.55 points to 23,956.40, reflecting renewed investor confidence across sectors.
Market sentiment improved significantly after the US and Iran agreed to restore peace and reopen the Strait of Hormuz, a critical global shipping route responsible for transporting nearly 20 percent of the world's oil supplies. The agreement is expected to ease concerns over energy security and inflationary pressures worldwide.
Among the top gainers on the Sensex were InterGlobe Aviation, Eternal, Bajaj Finance, Bajaj Finserv, UltraTech Cement, and Larsen & Toubro. Sun Pharma was the only major stock trading in negative territory during early deals.
Brent crude oil prices fell 4.55 percent to USD 83.36 per barrel, providing additional support to emerging markets, including India, which is heavily dependent on oil imports.
Asian markets also witnessed a strong rally, with South Korea's Kospi jumping nearly 6 percent and Japan's Nikkei 225 rising more than 5 percent. China's Shanghai Composite and Hong Kong's Hang Seng Index were also trading higher.
According to financial experts, the sharp correction in crude oil prices and hopes of lasting peace in West Asia have significantly improved the outlook for the Indian economy and stock market.
Despite Foreign Institutional Investors (FIIs) selling equities worth Rs 1,082.18 crore on Friday, domestic market sentiment remained upbeat following Friday's strong close, when the Sensex gained 1,695.40 points and the Nifty advanced 461.30 points.
Investors will continue to monitor developments related to the US-Iran peace agreement, global crude oil prices, and foreign fund flows for further market direction.
