Mumbai: Dalal Street opened on a bullish note for the second consecutive session on Wednesday, supported by easing geopolitical concerns amid hopes of de-escalation in the West Asia conflict. Additionally, reports suggesting that Donald Trump had proposed a 15-point plan to Iran via Pakistan further enhanced investor confidence.
Sensex opened around 600 points or 0.80 per cent higher at 74,652, while Nifty began trading at 23,064, up 150 points or 0.66 per cent.
In early trade, the 30-share index extended gains, rising as much as 771 points or 1.04 per cent to hit an intraday high of 74,840 as of 9.18 a.m. The Nifty also surged about 1 per cent or 260 points to 23,173.05.
Sectorally, most indices traded in the green, led by auto, realty and media stocks. Nifty Auto rose 1.47 per cent, followed by Nifty Realty (1.39 per cent), Nifty Media (1.30 per cent), and Nifty Metal (1.23 per cent). PSU banks and financial services indices also posted gains of over 1 per cent, while the IT sector remained under pressure.
Broader markets mirrored the positive sentiment, with the Nifty Midcap 100 and Nifty Smallcap 100 advancing around 1 per cent each.
Analysts said that apart from macroeconomic cues, stock-specific developments are expected to drive selective action in the near term. While global factors have supported a positive opening, they cautioned that the broader market structure remains fragile.
“Sustained upside will require a decisive breakout above key resistance levels, failing which the prevailing sell-on-rise approach is likely to dominate near-term sentiment,” analysts noted.
They advised investors to adopt a disciplined and selective strategy amid ongoing global uncertainties and heightened volatility. Accumulating fundamentally strong stocks during corrections may be prudent, while fresh long positions should ideally be initiated only after Nifty decisively crosses and sustains above the 24,500 level.
On the global front, crude oil prices witnessed a sharp decline amid ceasefire hopes. Brent crude futures fell 7 per cent to an intraday low of $97.18 per barrel, while US WTI crude dropped over 6 per cent to $86.72.
Meanwhile, Wall Street indices ended lower, with the S&P 500 and Nasdaq declining 0.84 per cent and 0.37 per cent, respectively.
In contrast, Asian markets traded strongly higher. Japan’s Nikkei surged 3.26 per cent, South Korea’s KOSPI rose 3.36 per cent, and Hong Kong’s Hang Seng gained 1.30 per cent.
(IANS)
