Mumbai
Indian equity markets extended their gains for a second straight session on Wednesday, with benchmark indices closing nearly 2 per cent higher, supported by falling crude oil prices and improved global sentiment amid hopes of easing tensions in West Asia.
The 30-share BSE Sensex rose 1,205 points, or 1.63 per cent, to close at 75,273.45 after touching an intraday high of 75,849.76. The NSE Nifty also advanced 394.05 points, or 1.72 per cent, to settle at 23,306.45.
Among Sensex constituents, UltraTech Cement, Bajaj Finance, Larsen & Toubro, Titan, InterGlobe Aviation and Trent led the rally, while Tech Mahindra, Power Grid, Tata Consultancy Services and Bharat Electronics ended lower.
A key factor driving the rally was the sharp decline in crude oil prices. Brent crude, the global benchmark, fell over 5 per cent to trade below the USD 100 per barrel mark, easing concerns around inflation and input costs.
Market participants were also encouraged by improving global cues. Major Asian indices—including South Korea’s Kospi, Japan’s Nikkei 225, China’s Shanghai Composite and Hong Kong’s Hang Seng—closed in positive territory, while European markets were trading higher. However, US markets had ended on a weaker note in the previous session.
Analysts said optimism around possible diplomatic engagement between the United States and Iran has lifted investor sentiment, raising expectations of a potential slowdown in the ongoing conflict. The easing of geopolitical tensions has, in turn, helped cool oil prices and supported risk appetite.
That said, experts cautioned that the optimism remains tentative, as the situation continues to evolve with mixed signals emerging from the region.
On the institutional front, Foreign Institutional Investors (FIIs) remained net sellers, offloading equities worth Rs 8,009.56 crore on Tuesday. In contrast, Domestic Institutional Investors (DIIs) provided support, purchasing shares worth Rs 5,867.15 crore.
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In the previous session on Tuesday, the Sensex had climbed 1,372.06 points, or 1.89 per cent, while the Nifty gained 399.75 points, or 1.78 per cent.
