Did Sensex Just Surge Over 2,100 Points While Nifty Surpasses 24,650?

Mumbai, May 12 (NationPress) Sensex and Nifty experienced a jump exceeding 2.7 percent on Monday morning, following the announcement of a ceasefire between India and Pakistan after four days of unrest.

At approximately 10:11 AM, the Sensex was up by 2,185 points or 2.75 percent, reaching 81,640.01. Meanwhile, the Nifty rose by 672.80 points or 2.80 percent, standing at 24,680.80.

Analysts indicate that India's markets and economy have shown remarkable resilience, consistently overcoming external challenges and geopolitical uncertainties.

This robustness stems from a stable, domestically-focused economy that shields against global issues, illustrating that every crisis ultimately concludes.

“A thaw in relations between India and Pakistan is expected to spark a significant rebound for the benchmark Nifty in early Monday trading. However, any new ceasefire violations by Pakistan could keep bullish sentiments precarious,” stated Prashanth Tapse, Senior VP (Research) at Mehta Equities.

India's initiatives to finalize trade agreements will enhance global business connections, enabling greater exports and attracting consistent foreign investment, thereby increasing competitiveness. This, combined with balanced international relationships and strong partnerships, creates a relatively stable investment environment, as noted by Devarsh Vakil, Head of Prime Research at HDFC Securities.

Major indexes concluded the previous week on a mixed note. The announcement of trade discussions between the U.S. and U.K., alongside reports of U.S. and Chinese officials meeting in Switzerland for trade talks, has paved the way for broader negotiations and tariff reductions, fostering positive investor sentiment, experts said.

In the Sensex pack, top gainers included Adani Ports, Bajaj Finance, Axis Bank, Eternal, Power Grid, NTPC, Bajaj Finserv, Tata Steel, L&T, and SBI. In contrast, Sun Pharma was the sole loser.

In Asian markets, China, Hong Kong, and Seoul were trading positively, while Japan was in the red.

In the last trading session on Friday, the Dow Jones in the U.S. fell by 0.29 percent, closing at 41,249.38. The S&P 500 dipped by 0.07 percent to 5,659.91, while the Nasdaq finished at 17,928.92.

On the institutional front, foreign institutional investors (FIIs), who had been net buyers for sixteen consecutive sessions, turned net sellers on May 9, offloading equities worth Rs 3,798.71 crore. Conversely, domestic institutional investors (DIIs) remained net buyers, investing Rs 7,277.74 crore on the same day.