Synopsis : Indian equity markets extended their winning streak for a third straight session on Thursday, buoyed by hopes of a ceasefire between Israel and Iran. Sensex and Nifty approached nine-month highs amid gains in metals, financials, and defense stocks.
Indian equity benchmarks continued their upward march on Thursday, with both the BSE Sensex and NSE Nifty posting solid gains for the third consecutive session. The Sensex rose 360.63 points to 83,116.14, while the Nifty climbed 131.60 points to 25,376.35 by midday, as market sentiment improved on the back of geopolitical easing and strength in key sectors.
The rally was largely driven by hopes of a ceasefire between Israel and Iran, easing global geopolitical tensions and bringing relief to risk-averse investors. Despite weak cues from broader Asian markets, Indian indices gained nearly 1% over the last two days, inching closer to nine-month highs.
Metals stocks outperformed, rallying 1% due to a weakening US dollar and soft bond yields, which benefited commodity-linked sectors. Heavyweights such as Reliance Industries (+1.3%) and HDFC Bank (+0.7%) also contributed to the upward move. Defense stocks, supported by global defense spending trends, gained between 1–2%.
However, the rally came despite persistent selling by Foreign Institutional Investors (FIIs), who offloaded over ?9,500 crore in the last three sessions. This outflow continues to act as a drag on near-term momentum, even as domestic sentiment remains optimistic.
Volatility may intensify ahead of the June monthly F&O expiry, especially near resistance zones of 25,400–25,500 on the Nifty. Analysts advise caution as the derivatives expiry often triggers last-hour swings and speculative trades.
Global cues remained mixed, with the MSCI index slipping 0.2% before staging a modest recovery. Meanwhile, the GIFT Nifty’s 40-point uptick indicates a positive bias going into the next trading day.
With geopolitical tensions easing and sector-specific strength continuing, market experts foresee sustained momentum—though foreign outflows and contract expiry could inject short-term volatility.
Disclaimer : This article is for informational purposes only and does not constitute financial advice. Investors should consult certified professionals before making trading or investment decisions.
