Mumbai, Mar 10 (PTI) Stock market benchmark indices Sensex and Nifty ended nearly 1 per cent higher on Tuesday after two days of massive decline, following a drop in crude oil prices and recovery in global peers amid indications that the West Asia crisis could end soon.
The 30-share BSE Sensex jumped 639.82 points or 0.82 per cent to settle at 78,205.98. During the day, it surged 960.09 points or 1.23 per cent to 78,526.25.
The 50-share NSE Nifty climbed 233.55 points or 0.97 per cent to end at 24,261.60.
Brent crude, the global oil benchmark, tumbled 9.03 per cent to USD 90.26 per barrel.
From the 30-Sensex firms, Mahindra & Mahindra, InterGlobe Aviation, Maruti, ICICI Bank, Asian Paints and UltraTech Cement were among the major gainers.
Eternal, Infosys, Reliance Industries and Bharti Airtel were among the laggards.
“Dalal Street mirrored the improvement in global sentiment after the sharp decline in crude oil prices, following comments from Trump hinting at a possible end to the war. Broader markets outperformed the benchmark indices, with most sectors trading in positive territory,” Vinod Nair, Head of Research, Geojit Investments Limited, said.
The BSE smallcap select index jumped 1.91 per cent, and the midcap select index climbed 1.71 per cent.
“The rebound came after signs of potential de-escalation in the Middle East conflict, as US President Donald Trump hinted at a possible early end to the Iran war. This development eased geopolitical concerns and triggered a sharp correction in global crude oil prices, helping risk sentiment stabilise,” Ponmudi R, CEO of Enrich Money, an online trading and wealth tech firm, said.
Among BSE sectoral indices, auto surged 2.93 per cent, consumer durables rose 2.60 per cent, services 2.35 per cent, BSE PSU Bank 2.29 per cent, consumer discretionary 2.07 per cent, financial services 2.01 per cent, commodities 1.74 per cent, and Private Banks index 1.72 per cent. IT, energy, oil & gas and BSE Focused IT were the laggards. “Markets witnessed a strong rebound on Tuesday, recovering a part of the previous session’s sharp losses amid improved global cues and easing concerns over crude oil prices. Investor sentiment improved slightly as global markets stabilised and crude oil prices cooled from their recent spike, which had earlier triggered concerns over inflation and economic growth.
“Expectations of easing geopolitical tensions in the Middle East and supportive cues from global equities also aided the recovery in domestic markets,” Ajit Mishra, SVP, Research, Religare Broking Ltd, said.
In Asian markets, South Korea’s Kospi rebounded sharply by 5.35 per cent, while Japan’s Nikkei 225 jumped 2.88 per cent. Shanghai’s SSE Composite index and Hong Kong’s Hang Seng index also ended in positive territory.
Markets in Europe were trading sharply higher.
The US market ended higher on Monday.
Foreign Institutional Investors (FIIs) offloaded equities worth Rs 6,345.57 crore on Monday, according to exchange data. Domestic Institutional Investors (DIIs), however, bought stocks worth Rs 9,013.80 crore.
“Indian equity markets witnessed a strong rebound today as easing geopolitical concerns and a sharp reversal in crude oil prices helped restore investor confidence after recent volatility.
“The Nifty-50 advanced over 200 points, supported by improving global sentiment as markets reacted positively to signs that tensions surrounding the ongoing Middle East conflict may begin to ease,” Hariprasad K, Research Analyst and Founder, Livelong Wealth, said.
On Monday, the Sensex tanked 1,352.74 points or 1.71 per cent to settle at 77,566.16, registering its second day of decline. On similar lines, the Nifty dropped 422.40 points or 1.73 per cent to end at 24,028.05.
