New Delhi: Benchmark indices Sensex and Nifty climbed in early trade on Thursday as renewed optimism surrounding the progress in restarting US–Iran negotiations has helped ease immediate geopolitical concerns and driven crude oil prices lower.
A positive trend in global markets and fresh foreign fund inflows also added to markets' optimism.
Follow The PSUWatch Channel on WhatsApp
The 30-share BSE Sensex jumped 619 points to 78,730.32 in early trade. The 50-share NSE Nifty climbed 169.65 points to 24,400.95.
From the 30-Sensex firms, Eternal, Infosys, Tech Mahindra, Bajaj Finance, Tata Steel and InterGlobe Aviation were the major winners.
Sun Pharma and Titan were the laggards.
Brent crude, the global oil benchmark, traded 0.04 percent up at USD 94.97 per barrel.
In Asian markets, South Korea's benchmark Kospi, Japan's Nikkei 225 index, Shanghai's SSE Composite index and Hong Kong's Hang Seng index were trading higher.
US markets ended mostly higher on Wednesday.
"Renewed optimism surrounding the progress in restarting US–Iran negotiations has helped ease immediate geopolitical concerns, thereby enhancing overall risk appetite. Brent crude oil prices have moderated and are consolidating in the range of USD 94–95 per barrel, which is a constructive development for the domestic market," Ponmudi R, CEO of Enrich Money, an online trading and wealth tech firm, said.
Foreign Institutional Investors (FIIs) bought equities worth Rs 666.15 crore on Wednesday, according to exchange data.
"Earlier, sustained FII outflows triggered by elevated oil prices and geopolitical uncertainty had weighed on Indian equities. However, recent sessions indicate signs of stabilization, with foreign institutional investors turning marginal net buyers, contributing approximately Rs 666 crore in the previous session," he added.
Follow Energy Watch on LinkedIN
On Wednesday, the Sensex jumped 1,263.67 points or 1.64 percent to settle at 78,111.24. The Nifty climbed 388.65 points or 1.63 percent to end at 24,231.30.
(PSU Watch– India's Business News centre that places the spotlight on PSUs, Bureaucracy, Defence and Public Policy is now on Google News. Click here to follow. Also, join PSU Watch Channel in your Telegram. You may also follow us on Twitter here and stay updated.)