Domestic markets pened on a positive note on Tuesday, recovering from recent selling pressure, with both benchmark indices registering strong gains in early trade. However, volatility remained high amid ongoing uncertainty surrounding the Strait of Hormuz.
The Nifty 50 opened at 22,878.45, rising 365.80 points or 1.62 per cent, while the BSE Sensex surged 1,516.08 points or 2.09 per cent to 74,212.47.
Market experts noted that despite the recovery, uncertainty continues to weigh on investor sentiment.
Ajay Bagga, a banking and market expert, told ANI, “Someone is making hay while the world is still not out of the woods — or rather, still not out of the Strait of Hormuz. There is massive volatility driven by social media posts that are quickly denied by adversaries, followed by strong rebuttals. Meanwhile, some are making huge profits by taking positions ahead of market-moving posts and announcements.”
He added that global cues remain mixed. “This morning, Asian markets have given up some of their early gains. Oil is slightly higher, the US dollar is stronger, while gold and silver have been falling over the past 25 days. US stock futures are down 0.4 per cent. It was encouraging to see Gift Nifty up over 800 points last night, but it is now up around 350 points compared to Monday’s market close in India,” he said.
In a surprising move on Monday, President Donald Trump paused planned military strikes on Iran’s energy grid for five days, citing progress in secret negotiations. Iran has dismissed these claims as “fake news,” maintaining that no direct dialogue has taken place. Despite the pause, global tensions remain elevated, with the Strait of Hormuz continuing to be a key flashpoint.
Crude oil prices remained elevated, with Brent crude trading at USD 104 per barrel after briefly slipping below USD 99 per barrel on Monday.
In the commodities segment, gold prices extended their decline, with 24-karat gold priced at Rs 1,37,370 per 10 grams. Silver prices also fell sharply by more than 3 per cent to Rs 2,17,823 per kg.
Sectoral indices on the NSE reflected broad-based buying, with all sectors opening in the green. Nifty Auto surged over 2 per cent, Nifty PSU Bank rose 2.40 per cent, Nifty IT gained 1.46 per cent, Nifty FMCG advanced 1.44 per cent, Nifty Metal jumped 2.31 per cent, Nifty Pharma climbed 1.15 per cent, and Nifty Private Bank added 1.62 per cent.
Other Asian markets also traded higher. Japan’s Nikkei 225 rose 0.75 per cent to 51,920, Singapore’s Straits Times gained 0.13 per cent to 4,849, Hong Kong’s Hang Seng climbed 1.75 per cent to 24,797, Taiwan’s Weighted index remained flat at 32,697, and South Korea’s KOSPI surged more than 2 per cent to 5,522.
US markets also ended higher on Monday. The Dow Jones rose 1.38 per cent to close at 46,208, the S&P 500 gained 1.15 per cent to 6,581, and the Nasdaq advanced 1.38 per cent to 21,946. (ANI)
