Markets rally as US–Iran deal eases oil risk; Sensex, Nifty open higher

New Delhi: Benchmark indices opened higher on Tuesday, supported by firm global cues and easing crude prices after a US–Iran peace deal. Fresh inflows from foreign investors added momentum to the domestic market.

Follow The PSUWatch Channel on WhatsApp

The 30‑stock BSE Sensex rose 272.87 points to 76,537.20 in early trade, while the NSE Nifty 50 gained 69.15 points to 23,921.55. Among Sensex constituents, HCL Tech, Bajaj Finance, Bajaj Finserv, Hindustan Unilever, Tech Mahindra and Tata Consultancy Services were early leaders. Axis Bank, Tata Steel, Power Grid and UltraTech Cement underperformed.

Brent crude, the global oil benchmark, eased 0.32 nt to USD 82.90 a barrel after reports of a US–Iran accord to reopen the Strait of Hormuz, a move expected to smooth the flow of oil and gas through the strategic route. Full details of the agreement have not been disclosed; Iran has said implementation will follow a formal signing ceremony reportedly scheduled in Switzerland on Friday.

Asian markets were mixed: South Korea’s Kospi, Japan’s Nikkei 225 and Shanghai’s SSE Composite were higher, while Hong Kong’s Hang Seng traded lower. US indices closed strongly on Monday, with the Nasdaq jumping 3.07%, the S&P 500 up 1.65% and the Dow rising 0.92%, reflecting improved risk appetite.

Follow PSU Watch on LinkedIN

Foreign institutional investors turned net buyers on Monday, purchasing equities worth Rs 200.05 crore, according to exchange data. “Global cues continue to remain supportive, with US markets rallying sharply overnight,” said Rajesh Palviya, Head of Research at Axis Direct. “Brent crude’s decline is a key positive for Indian equities, while sustained domestic institutional buying continues to provide stability to the market.”

On Monday, the Sensex had climbed 736.38 points (0.97%) to close at 76,264.33, and the Nifty rose 231 points (0.98%) to finish at 23,853.90.

(PSU Watch is India's Business News centre that places the spotlight on PSUs, Bureaucracy, Defence and Public Policy. 👉 Click to join our channel now: PSUWatch WhatsApp Channel. Prefer LinkedIn? Follow PSU Watch on LinkedIN. Click to stay connected on Twitter here and stay updated.)