The Nifty 50 climbed 502 points, or 2.2%, to close at 23,329, while the S&P BSE Sensex jumped 1,578 points, or 2.1%, ending at 76,735. The broader rally pushed up the market capitalisation of BSE-listed firms by ₹11 lakh crore to a total of ₹412 lakh crore.
All 13 sectoral indices ended in the green, with auto and realty stocks leading gains. The Nifty Auto index rose over 5%, tracking global relief after reports suggested former U.S. President Donald Trump may soften proposed tariff hikes. The Nifty Realty index surged nearly 8%, with Lodha Group shares rising after a reported resolution between promoter brothers.
Market breadth was overwhelmingly positive, with the advance-decline ratio at 8:1 and 49 of the 50 Nifty constituents ending in the green. Heavyweights Reliance Industries, HDFC Bank and ICICI Bank contributed most to the Nifty’s gain. The Nifty Bank index jumped 1,377 points to 52,380.
Midcap and smallcap stocks also participated in the rally. The Nifty Midcap 100 index rose over 3%, while the Nifty Smallcap 100 gained more than 2.5%.
Volatility cooled, with India’s VIX slumping 19% to 10.2 — its lowest in over a month — as investors shrugged off geopolitical and macroeconomic concerns.
Among stock-specific movers, Coromandel International surged 8% amid expectations of strong passive inflows from MSCI’s upcoming rejig. GM Breweries rose 2% after reporting a 200-basis-point expansion in operating margins. Shares of IREDA, ICICI Prudential and ICICI Lombard advanced ahead of their quarterly results.
Agri-related stocks rallied after India’s Meteorological Department forecasted an above-normal monsoon, lifting sentiment in rural and fertilizer-linked sectors. Tyre stocks also gained in tandem with the rally in autos, rising 3-4%.
Analysts said the market rally reflects renewed confidence that global trade frictions may ease, and domestic macro fundamentals remain resilient. Attention now turns to a busy earnings calendar and key U.S. data later this week.
