Indian Stock Market Surges Amid US-Iran Peace Deal Hopes and Falling Oil Prices
Why is market rising today? Sensex jumps 850 points, Nifty nears 24,000 on US-Iran peace talks. 5 key factors
Image: The Economic Times
On Monday, the Indian stock market saw significant gains, with the Sensex rising by 855 points to 76,270 and Nifty approaching 24,000. This surge is attributed to optimism surrounding US-Iran peace talks, declining oil prices, and a rally in global markets. The total market capitalization increased by nearly ₹5 lakh crore.
- 01The Sensex and Nifty rose approximately 1% each, with major contributors including Mahindra & Mahindra and HDFC Bank.
- 02Brent crude prices fell below $100 per barrel, boosting market sentiment.
- 03The Indian rupee appreciated by 0.37% against the US dollar, reflecting improved forex market confidence.
- 04Global markets also rallied, with Japan's Nikkei gaining around 3%.
- 05Despite the positive market movement, foreign institutional investors continued to sell Indian equities, totaling ₹30,374 crore in May.
Advertisement
In-Article Ad
The Indian stock market opened on a high note on Monday, with the Sensex surging by 855 points to 76,270 and Nifty nearing 24,000. This upward trend is driven by rising optimism regarding a potential peace deal between the US and Iran, which has led to a decline in oil prices, with Brent crude falling to $98 per barrel. Additionally, global markets experienced a positive shift, with Japan’s Nikkei rising by 3% and European markets closing in the green. The Indian rupee strengthened by 0.37%, reflecting improved sentiment after a period of depreciation. However, caution remains as foreign institutional investors have been net sellers of Indian equities, with substantial outflows recorded this month. The overall market capitalization of listed companies on the Bombay Stock Exchange increased by nearly ₹5 lakh crore, indicating strong investor confidence amidst the geopolitical developments.
Advertisement
In-Article Ad
The surge in the stock market and the strengthening rupee can positively influence investor sentiment and economic stability in India.
Advertisement
In-Article Ad
Reader Poll
What do you think will happen to the Indian stock market in the coming weeks?
Connecting to poll...
Read the original article
Visit the source for the complete story.