Why Are Sensex and Nifty Rising for the Second Day?

Synopsis
Key Takeaways
- Sensex climbed 700.4 points to 82,755.51.
- Nifty increased by 200.40 points to 25,244.75.
- Top gainers included Titan, Infosys, and M&M.
- Geopolitical tensions eased, boosting investor sentiment.
- Oil prices fell, aiding market recovery.
Mumbai, June 25 (NationPress) The Indian stock markets have registered gains for a consecutive second day on Wednesday, thanks to robust buying in media and technology stocks. Investors expressed relief as crude oil prices declined and geopolitical tensions between Iran and Israel subsided following a ceasefire.
The Sensex finished 700.4 points higher at 82,755.51, marking an increase of 0.85%. The Nifty also saw a rise of 200.40 points, closing at 25,244.75, which is up 0.8%.
Top gainers on the Sensex included Titan Company, M&M, Infosys, Power Grid, TCS, and Bharti Airtel, with increases reaching as high as 3.6%.
Conversely, BEL, Kotak Mahindra Bank, and Axis Bank were the leading losers, dropping by as much as 3%.
The broader markets reflected a positive trend as well. The Nifty MidCap index increased by 0.44%, while the Nifty SmallCap index surged by 1.5%.
Among sectoral indices, Nifty Media emerged as the top performer with a rise of 1.99%, followed closely by Nifty IT which rose by 1.64%, and Nifty Consumer Durables with a gain of 1.43%.
Market sentiment improved due to falling oil prices and diminished geopolitical risks, which enhanced risk appetite among investors.
Analysts suggest that these developments have provided temporary relief to the markets, despite ongoing selling pressure from foreign investors.
Vinod Nair from Geojit Financial Services noted that the calming of tensions in the Middle East and the decrease in crude oil prices have significantly contributed to the market's recovery.
"The Indian equity markets have displayed a recovery, bolstered by the easing of geopolitical tensions in the Middle East and a moderation in crude oil prices," Nair stated.
He also mentioned that, domestically, a favorable monsoon forecast and declining inflation are further supporting optimism.
Meanwhile, the Indian Rupee remained stable at around 86.10 after a sharp rally of over 0.75% observed in the previous session, trading within a narrow range of 86.00-86.15.
"Market participants are now anticipating upcoming indicators from the US, including the PCE Price Index and GDP data expected later this week. The Rupee is predicted to fluctuate within a range of 85.70 to 86.25," commented Jateen Trivedi of LKP Securities.