Sensex, Nifty rise on IT rally; India-US trade deal talks in focus
Synopsis
Indian markets shrugged off caution to close firmly in the green on 2 June, with IT giants TCS, Infosys, and HCL Tech doing the heavy lifting. The real story, however, is off the trading floor — a US delegation has landed in New Delhi to begin three-day talks on the first tranche of a bilateral trade deal, and markets are betting on a positive outcome.
Key Takeaways
BSE Sensex closed up 382.50 points at 74,649.84 on 2 June ; Nifty50 gained 100.95 points to settle at 23,483.55 .
TCS , Infosys , and HCL Technologies were the top Nifty gainers, led by the Nifty IT index.
NTPC , Axis Bank , Power Grid , Bajaj Finance , and Bajaj Finserv were among the top laggards.
US delegation led by Brendan Lynch began three-day India-US trade deal talks in New Delhi on Tuesday.
Nifty faces immediate resistance at 23,500–23,550 ; key support seen at 23,300–23,250 .
Investor focus shifts to monsoon progress, RBI policy, and inflation data after the earnings season wraps up.
Indian benchmark indices closed higher on Tuesday, 2 June, led by strong buying in information technology, metal, and consumer durable stocks, even as investors remained cautious ahead of ongoing trade negotiations between India and the United States. The BSE Sensex advanced 382.50 points, or 0.52%, to close at 74,649.84, while the Nifty50 settled 100.95 points, or 0.43%, higher at 23,483.55.
IT Stocks Drive the Gains
Heavyweight IT counters provided the primary lift, with Tata Consultancy Services (TCS), Infosys, and HCL Technologies emerging as the top gainers on the Nifty. On the Sensex, TCS led the pack, followed by Infosys, HCL Tech, Adani Ports, and Tech Mahindra.
On the losing side, NTPC was the steepest decliner, with Axis Bank, Power Grid, Bajaj Finance, and Bajaj Finserv also ending among the top laggards. Defensive sectors bore the brunt of selling pressure, with the Nifty Pharma and Nifty Healthcare indices both closing in the red.
Broader Markets and Sectoral Snapshot
The broader market also participated in the recovery. The Nifty MidCap index gained 0.18%, while the Nifty SmallCap index rose 0.40%. Among sectoral indices, the Nifty IT index led all gains. The Nifty Consumer Durable, Nifty Auto, and Nifty FMCG indices also outperformed the broader market during the session.
India-US Trade Talks Begin in New Delhi
A key driver of market sentiment was the launch of a fresh round of bilateral trade negotiations. A US delegation led by Assistant US Trade Representative for South and Central Asia Brendan Lynch began a three-day round of talks with Indian officials in New Delhi on Tuesday, aimed at finalising the first tranche of the proposed bilateral trade agreement. Market participants are closely tracking progress, as a deal is widely seen as a positive catalyst for Indian equities and exports.
Technical Levels and Macro Outlook
Analysts flagged the 23,500–23,550 zone as an immediate resistance band for the Nifty. According to market experts, a sustained close above this range could pave the way for a recovery toward 23,750–23,800. On the downside, the 23,300–23,250 zone is seen as a crucial support area.
With the earnings season largely concluded, investor focus has shifted to macro factors including monsoon progress, inflation trends, Reserve Bank of India (RBI) policy direction, and domestic liquidity conditions, according to market experts. How the India-US trade talks unfold over the next two days will be closely watched for further market direction.
Point of View
But the first tranche of any bilateral deal is rarely straightforward; the devil will be in sectoral carve-outs, tariff timelines, and what India concedes on agriculture and digital trade. If talks stall or produce a thin outcome, the sentiment premium currently baked into equities could unwind quickly. With the RBI policy cycle and monsoon both in play, the macro backdrop is unusually crowded — leaving markets vulnerable to any single negative surprise.
NationPress
5 Aug 2026
Frequently Asked Questions
Why did the Sensex and Nifty rise on 2 June?
The Sensex gained 382.50 points to close at 74,649.84 and the Nifty rose 100.95 points to 23,483.55, driven primarily by buying in IT, metal, and consumer durable stocks. Positive sentiment around the India-US trade deal talks beginning in New Delhi also supported the rally.
Which stocks led the market gains on 2 June?
TCS, Infosys, and HCL Technologies were the top gainers on the Nifty, with the Nifty IT index leading all sectoral indices. On the Sensex, TCS topped the gainers list, followed by Infosys, HCL Tech, Adani Ports, and Tech Mahindra.
What are the India-US trade deal talks about?
A US delegation led by Assistant US Trade Representative Brendan Lynch began a three-day round of negotiations with Indian officials in New Delhi on 2 June, aimed at finalising the first tranche of a proposed bilateral trade agreement. Progress in these talks is being closely watched by market participants as a potential positive catalyst.
What are the key technical levels to watch for Nifty?
Analysts identify 23,500–23,550 as the immediate resistance zone for the Nifty; a sustained breakout above this could target 23,750–23,800. On the downside, 23,300–23,250 is seen as a crucial support area.
What macro factors are investors tracking after the earnings season?
With the earnings season largely concluded, investors are focused on monsoon progress, inflation trends, RBI monetary policy direction, and domestic liquidity conditions, according to market experts.
