Indian markets opened strong on Tuesday, with the Sensex surging 556.87 points (0.75 per cent) to 74,726.82 and the Nifty rising 173.15 points (0.77 per cent) to 22,681.90 at 9:45 AM. The positive start was attributed to upbeat global cues and easing inflation concerns. The Nifty had crossed the 22,500 mark in the previous session, setting the stage for further gains.
Leading the gainers in early trade was ICICI Bank, with a 2.53 per cent jump, followed by Hindalco (2.02 per cent), Britannia (1.63 per cent), Shriram Finance (1.52 per cent), and L&T (1.34 per cent). On the other hand, Bajaj Finserv led the losers with a 1.68 per cent decline, followed by Bajaj Finance (-0.61 per cent), ONGC (-0.19 per cent), and Kotak Mahindra Bank (-0.16 per cent).
Global markets provided a tailwind, with US stocks bouncing back from a recent slump triggered by tariff concerns and weak consumer confidence. The positive sentiment spilled over to Asian markets, which tracked Wall Street gains. Investors were closely watching the Bank of Japan’s monetary policy meeting and its decision to maintain rates at 0.5 per cent.
Analysts noted that the Indian market had likely bottomed out, supported by positive domestic factors such as GDP growth, industrial production, tax collections, and inflation trends. However, concerns over potential tariff wars and foreign investor outflows remained a challenge. FIIs continued to be net sellers in March, while DIIs provided some offsetting buying support.
Technical analysts were optimistic about Nifty’s prospects, pointing to a potential breakout above the 22,700 resistance level and a target of 23,000. Key market developments included concerns over insolvency at Ola Electric, contractor cuts impacting LTI Mindtree, and planned price hikes by Tata Motors and Maruti in April.
In the commodities market, gold prices surged above $3,000 an ounce, setting a new record amid geopolitical tensions, while silver prices held steady near $34 per ounce. Oil prices stabilized around $71 a barrel, with a focus on China’s economic outlook and Middle East developments.
Investors were awaiting the outcome of the US Federal Reserve’s meeting, where steady rates were expected, along with updated economic projections. The meeting between President Trump and President Putin on Ukraine also had the potential to impact global market sentiment.
The day’s trading session showed promise for Indian markets, driven by both domestic and global factors, with investors closely monitoring developments for further cues.
