Markets began trading on a cautiously optimistic note on Friday, with both benchmark indices edging higher in early sessions, spurred by gains in information technology stocks and a significant drop in crude oil prices after reports surfaced regarding a 60-day ceasefire extension between the U.S. and Iran.
The Sensex, which closed at 75,867.80 on Thursday, opened at 75,988.51 and was trading at 76,111.28, marking an increase of 243.48 points or 0.32 percent by 9:18 AM. Meanwhile, the Nifty 50, which concluded the previous session at 23,907.15, opened at 23,902.15 and was trading at 23,956.75, up 49.60 points or 0.21 percent at the same time.
IT Sector Leads Gainers
The technology sector led the gainers on the Nifty 50 in the early trading session. Wipro topped the gainers’ list, surging by 3.25 percent to ₹208.13 from its previous close of ₹201.58. Infosys advanced 3.17 percent to ₹1,196.70 compared to ₹1,159.90 the day before, while HCL Technologies increased 1.73 percent to ₹1,185.40 from ₹1,165.20. TCS rose 1.55 percent to ₹2,319.60 from ₹2,284.20, and Tech Mahindra gained 1.24 percent to ₹1,473.60 from its former close of ₹1,455.60.
The broad rally in the IT sector was supported by a resurgence in global technology sentiment. Dr. VK Vijayakumar, Chief Investment Strategist at Geojit Investments, commented, “The double-digit earnings growth in financials, automobiles, and metals is impressive. Trends indicate that FY27 will be favorable for defense, capital goods, renewable energy, financials, and pharmaceuticals. Growth sectors like digital platform companies are being accumulated on declines.”
Energy, Telecom, and Ports Among Losers
Conversely, ONGC experienced the most significant decline, dropping 1.70 percent to ₹269.40 from ₹274.05. Bharti Airtel fell 1.11 percent to ₹1,831.70 from ₹1,852.20, and Adani Ports slipped 0.88 percent to ₹1,808.50 from ₹1,824.50. Coal India decreased by 0.87 percent to ₹459.00 from ₹463.05, while Eicher Motors eased 0.84 percent to ₹7,356.50 from its prior close of ₹7,419.00.
Crude Oil Prices Decline on Iran Truce Reports
A primary driver of market sentiment was the decline in crude oil prices, with Brent crude futures trading at $91.74, down 1.04 percent, and WTI crude prices falling by 1.48 percent to $87.58 as of 9:11 AM. On the MCX, June crude oil futures decreased by 1.36 percent to ₹8,421, while July futures fell 1.10 percent to ₹8,286. Reports indicated an agreement on a 60-day ceasefire extension between the U.S. and Iran, although this has not been officially confirmed by U.S. President Donald Trump or Iranian officials.
Vijayakumar noted, “Brent crude declining is a significant positive. If a deal is reached, crude prices could drop further, potentially improving India’s macroeconomic conditions, which have been under strain from the energy crisis. This could help stabilize the rupee, which in turn might mitigate Foreign Portfolio Investor (FPI) outflows.”
Rupee and FII Flows Remain Concerns
Despite falling crude prices, the Indian rupee continued to face pressures, trading within the 95.6 to 95.8 range against the U.S. dollar. Foreign Institutional Investors (FIIs) remained net sellers, disposing of equities worth ₹1,042.70 crore in the previous trading session. In contrast, Domestic Institutional Investors (DIIs) acted as a counterbalance, purchasing equities totaling ₹3,821 crore.
Ponmudi R, CEO of Enrich Money, highlighted that “persistent FII outflows are a key concern and may restrict any near-term recovery in the domestic market.”
LIC in Focus; Technical Levels to Monitor
LIC attracted attention on Friday as the stock turned ex-date for its 1:1 bonus share issuance, which typically results in a downward adjustment of the share price while doubling the number of outstanding shares.
On the technical front, analysts generally agree that 24,000 is a critical resistance level for the Nifty. Shrikant Chouhan, Head of Equity Research at Kotak Securities, stated, “A new uptrend rally is only feasible after breaching the 24,000/76,200 mark. Following a breakout, the market could target 24,200 to 24,250.”
Downside support for the Nifty is found at the 23,800 level, while the 23,500 to 23,600 zone serves as a stronger demand area. Bank Nifty faces resistance in the range of 55,400 to 55,600, with support at the 54,400 to 54,200 range.
Hariprasad K, Founder of Livelong Wealth and a SEBI-registered Research Analyst, cautioned that “despite favorable global cues, traders may remain cautious ahead of the weekend,” indicating that any unforeseen geopolitical escalation could instigate sharp and unilateral global market movements when trading resumes next week.
Published on May 29, 2026.
