Indian equity markets on Monday opened with gains amid more clarity on the India-US interim trade framework. The upward movement of the market indices is also because of the improvements in domestic fundamentals and easing of geopolitical uncertainties.
Indian stock market on Monday opens in green. Representational picture
After a highly volatile last week, the Indian equity markets on Monday opened with gains amid more clarity on the India-US interim trade framework. The upward movement of the market indices is also because of the improvements in domestic fundamentals and easing of geopolitical uncertainties.
During the early trade, Sensex added 370 points, or 0.44 per cent, to reach 83,950, and Nifty gained 117 points, or 0.46 per cent, to settle at 25,811, reported IANS.
The core reason for the upward movement was because the main broad-cap indices posted strong gains, as the Nifty Midcap 100 added 0.66 per cent, and the Nifty Smallcap 100 edged up 0.85 per cent.
The best thing about the Nifty and Sensex on Monday was that all sectoral indices traded in the green. Meanwhile, the most notable gainers were PSU Bank, up 2.45 per cent, and metals, up 1.56 per cent.
Market experts say that immediate support for Nifty is placed at the 25,550-25,600 zone, while resistance is anchored at the 25,850-25,900 zone, as per IANS.
Whereas some of the stock market analysts said that the India-US trade pact has removed a key overhang, improved export visibility and triggered a revival in foreign investor interest.
RBI pauses repo rate change
The RBI’s pause on repo rate change with a neutral stance, alongside benign inflation expectations for FY26 and a steady growth outlook, continues to reinforce macroeconomic stability, they added.
Another reason for the strong upward movement of the Indian stock market and money market was the easing of global uncertainties. Easing concerns over a potential US-Iran conflict, robust domestic institutional inflows, a stabilising rupee and sustained traction in budget-led capex themes are adding to the positive momentum.
Market watchers further noted, “Overall sentiment has turned constructive, with markets now focusing on the durability of FII inflows and early signs of a recovery in export-orientated sectors,” as cited by IANS.
Asian markets in green
Along with the Indian stock market, China's Shanghai index on Monday also added 1.17, and Shenzhen added 2.07 per cent, while Japan's Nikkei gained 4.27 per cent, and Hong Kong's Hang Seng Index edged up 1.61 per cent.
US Markets
Surprisingly the US markets ended in the green in the last trading session as Nasdaq gained 2.18 per cent. The S&P 500 added 1.97 per cent, and the Dow Jones added 2.47 per cent.
On February 6, foreign institutional investors (FIIs) net bought equities worth Rs 1,951 crore, while domestic institutional investors (DIIs) were net sellers of equities worth Rs 1,265 crore.
(With inputs from IANS)
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