Easing tensions extend four-day bull run across equity markets

RISK APPETITE RETURNS | Sensex, Nifty climb as crude oil prices tumble

PTI mumbai

Stock market benchmark indices ended higher on Monday, with the Sensex climbing 544.39 points and the Nifty surging 1.60%, following a sharp decline in crude oil prices amid easing geopolitical tensions.

Foreign fund inflows also added to market optimism. Extending winning momentum to the fourth day, the 30-share BSE Sensex jumped 544.39 points, or 0.70%, to settle at 78,639.03. During the day, it surged 800.46 points, or 1%, to 78,895.10. The 50-share NSE Nifty climbed 390.70 points, or 1.60%, to end at 24,774.30.  

From the Sensex pack, InterGlobe Aviation, Tata Consultancy Services, Infosys, Eternal, ITC, and Axis Bank were among major winners. Sun Pharma, Bharti Airtel, Maruti, and Tata Steel were among laggards. The BSE SmallCap Select index climbed 0.87% and the MidCap Select index edged higher by 0.73%.  

"Indian equity markets ended higher, supported by broad-based buying as easing tensions in the Middle East and a sharp decline in global crude oil prices boosted investor sentiment," said Hariselvan Radhakrishnan, founder and CEO of HST Wealth, a research analyst firm.

Among sectors, IT jumped 2.53%, Focused IT gained 2.49%, services rose 1.97%, industrials climbed 1.23%, commodities advanced 1.20%, metal increased 1.14%, FMCG went up 1.13%, insurance grew 1.01%, and PSU bank rose 1%. Hospitals, oil & gas, and healthcare were laggards. In four trading days, the BSE benchmark jumped 1,873.11 points, or 2.44%, and the Nifty climbed 788.95 points, or 3.28%.

Closing auction session for equity cash segment comes into effect The Closing Auction Session in the equity cash segment became operational on Monday, ushering in a new auction-based mechanism to determine closing prices of eligible stocks.

Introduced by markets regulator Sebi, the new framework aims to make the price discovery process more transparent and robust. 

It applies only to cash market stocks with derivative contracts, while the existing volume-weighted average price-based methodology continues for other stocks.  Prior to this implementation, closing prices were determined using the volume-weighted average price of trades executed during the last thirty minutes of continuous trading.