Indian equity benchmarks extended gains for a second consecutive session on Thursday, supported by positive global cues, expectations of easing tensions between the United States and Iran, and continued investor buying.
In early trade, the BSE Sensex opened 380 points higher at 78,339, while the Nifty 50 rose 67 points to begin trading at 24,398.
Asian equity markets registered broad-based gains amid expectations of reduced geopolitical tensions between the United States and Iran. Japan’s Nikkei 225 advanced sharply and crossed the 62,000 mark for the first time, with gains of more than 4% reflecting b investor sentiment.
Hong Kong’s Hang Seng Index also traded more than 1% higher, while South Korea’s KOSPI remained in positive territory. However, the small-cap focused KOSDAQ index recorded marginal weakness.
US equity markets closed higher overnight. The S&P 500 gained 1.46% to settle at a record high, while the Nasdaq advanced more than 2%. The Dow Jones Industrial Average closed over 600 points higher. Market participants attributed the gains to continued buying in technology and artificial intelligence stocks, along with expectations of a potential peace agreement in the Middle East.
In commodities, WTI crude oil prices rose around 1.2% and traded near $96 per barrel, while Brent crude moved above $102 per barrel. Analysts said oil markets continued to remain sensitive to geopolitical developments, although concerns over supply disruptions appeared limited at present.
The US Dollar Index remained around the 98 level with marginal strength in the US dollar. The Indian rupee strengthened against the dollar and closed higher in the previous trading session, supported by foreign investor buying and firm domestic equity markets.
Sectorally, banking, information technology, auto and metal stocks witnessed buying interest in early trade. IT stocks gained support from the rally in US technology shares, while banking stocks saw sustained investor participation. Auto and metal shares also advanced on expectations of global demand improvement.
Midcap and smallcap stocks also traded with a positive bias. Market participants said Indian equities were currently benefiting from supportive global signals and domestic economic stability.
