Sensex Surges, Nifty Breaks Key Levels as Iran-US Peace Glimmers Sending Crude Prices Plunge
Indian stock benchmarks extended their gains on Tuesday, fueled by stabilizing global cues and a major shift in commodity sentiment. The market saw a significant upward movement after preliminary peace discussions between Iran and the U.S. triggered a sharp decline in crude oil prices globally.At 9:30 a.m., the Sensex stood strong at 76,615.61, climbing by 351.28 points or 0.46 percent. The broader market, represented by Nifty, also advanced to 23,941.45, registering a gain of 87.55 points or 0.37 percent. This performance follows two consecutive sessions where the key indices registered substantial gains.
Foreign Investor Inflows and Positive Global Cues Drive Rally
The equity rally was supported by several powerful fundamental factors, including strong institutional buying interest. Foreign portfolio investors (FIIs) transitioned into net buyers on Monday, injecting ₹200 crore into Indian equities. This move signals a significant reversal after 13 consecutive sessions of outflows.Global market sentiment also provided robust support for the domestic markets. Asian markets were trading in positive territory, and US stock exchanges had similarly ended their session on a strong note. Concurrently, the volatility gauge saw a sharp decline. The India Vix fell by over 4 percent, settling at the 13.73 level.
Rupee Strengthens Amid Easing Middle East Tensions
The domestic currency also gained ground as global energy prices began to soften. The rupee appreciated 5 paise, reaching 94.53 against the US dollar. This strength was driven by the sharp decline in oil prices and the visible easing of tensions in the Middle East region.At the interbank foreign exchange market, the rupee first opened at 94.69 but gained momentum during initial trading to touch 94.53, reflecting a move up of 5 paise from its previous close. This appreciation underscores how geopolitical stability is immediately translating into currency strength.
Technical Outlook Highlights Bullish Continuation Potential
Anand James, Chief Market Strategist at Geojit Investments, provided cautious but bullish guidance on the near-term market direction. He noted that while a stumble near 24029 was expected, the subsequent drop from that level has formed a pattern indicating potential for a bullish continuation.The analyst suggests that investors should anticipate consolidation early in the day within the range of 23800 to 24000. While waiting for a direct break above 24029 remains key, a move towards 24300-600 is viable. He added that slippage below 23800 may dilute momentum but should not trigger a market collapse.
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