Indian stock indices continued their upward momentum from the previous week, opening the new trading week on a positive note.
The Sensex closed at 80,796.84, rising 294.85 points or 0.37 per cent, while the Nifty ended the day at 24,461.15, up 114.45 points or 0.47 per cent. Most sectoral indices were in the green, with Nifty Auto and Oil & Gas leading the gains on Monday.
As the week progresses, market participants are expected to closely track the flow of foreign portfolio investments (FPIs)—which have recently turned net positive—along with developments surrounding the India-US trade deal and Q4 earnings reports from major listed companies for further cues.
On the global front, investors are also awaiting the outcome of the US Federal Reserve’s monetary policy meeting, which could influence market sentiment.
Last week, the Sensex and Nifty posted their longest weekly winning streak of 2025. The Sensex surged over 1,100 points—or about 1.5 per cent—during the holiday-truncated week, with markets closed on May 1 for Maharashtra Day.
Adding to the positive sentiment, FPIs turned net buyers after three months, although the pace of inflows is still building.
“The market has sustained its positive momentum, though optimism has moderated. Continued foreign inflows and record GST collections in April reflect resilience in economic activity and support mild optimism,” said Vinod Nair, Head of Research at Geojit Financial Services.
“A weak dollar and falling oil prices have further boosted FII sentiment. However, the momentum is shifting from broad-based rallies to stock- and sector-specific moves driven by earnings. Over the past month, the broader market has recovered over 50 per cent of the losses incurred during the consolidation phase from September 2024 to March 2025,” he added.
Sundar Kewat, Technical and Derivatives Analyst at Ashika Institutional Equity, noted that gains were limited as investor sentiment turned cautious amid escalating geopolitical tensions between India and Pakistan. This led to a more defensive market stance despite support from select sectors.
Markets had also found support after former U.S. President Donald Trump announced a 90-day pause on reciprocal tariffs on several countries, including India. The initial announcement of the tariffs had triggered a global equity sell-off, with India also being affected.
Geopolitical tensions, particularly the India-Pakistan standoff following the terrorist attack in Pahalgam on April 22, have weighed on investor sentiment recently. Market participants are expected to closely monitor further developments in this regard.
-ANI
