Sensex jumps nearly 1,000 points, Nifty tops 23,450 as easing West Asia tensions lift market mood

Indian equity benchmarks rallied sharply in early trade on Friday, with the BSE Sensex soaring nearly 1,000 points and the NSE Nifty 50 climbing above the 23,450 mark, as a decline in global crude oil prices and improving risk appetite boosted investor sentiment.

The BSE Sensex was trading at 74,791.94, up 959.39 points or 1.30 per cent at 9:16 am, while the NSE Nifty 50 advanced 288.50 points, or 1.25 per cent, to 23,450.10.

The rally came after US President Donald Trump said the United States and Iran could sign a peace agreement as early as this weekend, easing fears of a prolonged conflict in the region. The comments led to a sharp fall in oil prices, with Brent crude slipping below $90 a barrel, providing relief to oil-importing economies such as India.

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Lower crude prices are viewed positively for India as they help reduce inflationary pressures, improve the fiscal outlook and ease concerns over corporate profitability.

Asian markets also posted strong gains, with regional equities rising more than 3 per cent as investors welcomed signs of de-escalation in the conflict that had rattled global markets in recent months.

The Indian market's rebound follows a difficult period marked by heightened geopolitical uncertainty. Since the outbreak of the Iran conflict in late February, the Nifty and Sensex had declined around 8 per cent and 9.2 per cent, respectively, amid concerns over rising energy costs, inflation and slowing economic growth.

Friday's gains were broad-based, with 49 of the 50 Nifty constituents trading in positive territory.

Among Sensex stocks, Larsen & Toubro emerged as the top gainer, rising 3.31 per cent to Rs 3,987.35. InterGlobe Aviation, the operator of IndiGo, climbed 3.23 per cent, while Trent gained 2.38 per cent.

Financial stocks also contributed significantly to the rally. Bajaj Finance rose 2.11 per cent, HDFC Bank gained 1.74 per cent, ICICI Bank advanced 1.20 per cent, while State Bank of India added 1.17 per cent.

Automobile shares witnessed strong buying, with Maruti Suzuki India climbing 1.81 per cent and Mahindra & Mahindra rising 1.14 per cent.

Metal stocks benefited from improved global risk sentiment, with Tata Steel gaining 1.73 per cent and Adani Ports advancing 1.30 per cent.

ONGC was among the notable laggards outside the benchmark index basket, declining over 1 per cent as softer crude prices weighed on energy producers.