Markets soar on geopolitical optimism, Sensex up 2,211.16 points, Nifty up 694.95 points, positive global cues drive investor confidence.
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Markets extended their morning rally with robust gains at midday trading, as multiple positive geopolitical developments fueled investor confidence. The Sensex surged 2,211.16 points or 2.78 per cent to 81,665.63, while the Nifty climbed 694.95 points or 2.89 per cent to 24,702.95 as of 12.30 pm on Monday.

The remarkable upswing follows diplomatic breakthroughs between India and Pakistan with a ceasefire agreement, reports of potential Russia-Ukraine peace negotiations in Istanbul, and renewed US-China trade talks in Geneva, significantly reducing global tensions.

“The market is trading higher today, driven by a wave of favorable geopolitical developments,” said Swapnil Aggarwal, Director at VSRK Capital. “With volatility receding and global cues becoming positive, we anticipate the market to continue its upward momentum in the near term, provided domestic macro indicators remain stable.”

Among top gainers, Adani Enterprises and Shriram Finance led with identical 7.06 per cent increases, followed by Trent at 4.89 per cent, Jio Financial Services at 4.73 per cent, and Eternal at 4.57 per cent. Only two stocks registered losses, with Sun Pharma declining 2.96 per cent and IndusInd Bank down 2.85 per cent.

The broader market showed exceptional strength with 3,449 advancing stocks against just 485 declines on the BSE. The Nifty Next 50 index rose 3.21 per cent, while financial services saw gains of 3.33 per cent. The Bank Nifty added 2.88 per cent, and the Nifty Midcap 100 increased by 3.19 per cent.

Market breadth remained overwhelmingly positive with 419 stocks hitting upper circuit limits compared to 164 at lower circuits. Ninety stocks reached 52-week highs, while only 42 touched 52-week lows.

Monday’s rally builds on the morning’s strong opening when the Sensex had surged 1,945 points following the initial news of the India-Pakistan diplomatic breakthrough and positive US-China trade developments.

Adding to the bullish sentiment is the recent upgrade of India’s sovereign rating to BBB (stable) by Morningstar DBRS, reinforcing investor confidence in the country’s economic outlook.

Trading volumes remained robust, with significant activity in Eternal (1.77 crore shares), Jio Financial Services (1.24 crore shares), and Shriram Finance (53.54 lakh shares) leading volume charts among the top gainers.

Published on May 12, 2025