Resilient despite West Asia tensions: Dalal Street stays bullish for 4th day on IT boost

Mumbai: Stock market benchmark indices Sensex and Nifty ended higher on Tuesday, as a drop in crude oil prices and a rally in global markets calmed investors’ sentiment.

Also, buying in IT stocks aided recovery in the markets after early losses. The 30-share BSE Sensex jumped 509.73 points, or 0.69 per cent, to settle at 74,616.58. During the day, it hit a high of 74,686.32 and a low of 73,282.41, gyrating 1,403.91 points.

The 50-share NSE Nifty climbed 155.40 points, or 0.68 per cent, to end at 23,123.65. From the 30-Sensex firms, Tata Consultancy Services, HCL Tech, Infosys, Bharti Airtel, Sun Pharma, and Hindustan Unilever were among the major gainers. InterGlobe Aviation, Adani Ports, Mahindra & Mahindra, and Titan were among the laggards. Brent crude, the global oil benchmark, dropped 0.71 per cent to USD 109 per barrel.

“Indian markets staged a sharp intra-day recovery, with Nifty reversing early losses to reclaim higher levels, driven largely by short-covering and selective sectoral strength rather than broad-based buying conviction,” Hariprasad K, Research Analyst and Founder, Livelong Wealth, said. A key driver of today’s rally was strong outperformance in the IT sector, which acted as a defensive anchor, he said.

“The domestic market extended its recovery trend, although the session opened on a weak note amid elevated crude prices and caution ahead of Trump’s deadline for Iran. Gains remained largely confined to IT, FMCG, and metal, while broader market breadth stayed weak, reflecting persistent caution,” Vinod Nair, Head of Research, Geojit Investments Ltd, said.

Sectorally, BSE-Focused IT jumped 2.46 per cent, IT (2.37 per cent), realty (1.70 per cent), metal (1.55 per cent), commodities (0.83 per cent), hospitals (0.83 per cent) and FMCG (0.71 per cent). PSU banks, consumer durables, services, BSE MidSmall Private Banks Quality Tilt and consumer discretionary were the laggards. A total of 2,671 stocks advanced while 1,555 declined and 155 remained unchanged on the BSE.

“Indian equity markets continued to exhibit notable resilience as the Middle East conflict entered its sixth week, becoming increasingly complex and unpredictable. Despite elevated volatility, with VIX hovering near the 25 zone, markets responded with maturity-absorbing developments rather than reacting with panic.

“This reflects a clear behavioural shift, where investors are now pricing in meaningful developments rather than reacting to headline-driven noise.

The session opened with a gap-down, but steady buying interest through the day helped indices recover and close marginally positive, highlighting underlying strength amid a challenging global backdrop,” Ponmudi R, CEO of Enrich Money, an online trading and wealth tech firm, said.