Indian equities rallied sharply on April 8, extending gains for the fifth straight session, as easing geopolitical tensions and a steep fall in crude oil prices triggered strong buying across sectors.
The Sensex jumped 2,946 points, or 3.95 percent, to close at 77,562.90, while the Nifty 50 rose 874 points, or 3.78 percent, to end at 23,997.35.
The upmove was seen across the board:
Nifty Midcap 100 and Nifty Smallcap 100 surged over 4 percent each
All sectoral indices ended in the green
Nifty Bank and Financial Services indices gained nearly 6 percent
Realty and auto stocks led with gains of up to 7 percent
Oil & gas, metals, chemicals and media indices rose over 2.5 percent
Market volatility cooled significantly, with India VIX plunging more than 20 percent to fall below the 20 level, indicating easing risk perception.
The sharp rally added massive investor wealth:
Total market capitalisation of BSE-listed firms rose to about ₹446 lakh-crore
Up from ₹429 lakh-crore in the previous session
Investors gained nearly ₹17 lakh-crore in a single day
Over the past five sessions:
Sensex has gained 5,615 points (nearly 8 percent)
Nifty 50 has risen 1,666 points (around 7.5 percent)
Easing tensions in West Asia after a temporary ceasefire between the US and Iran boosted global risk appetite. The agreement to resume talks and ensure smoother oil flows reduced fears of prolonged disruption.
Brent crude fell sharply by around 14 percent to below $95 a barrel.
Lower oil prices ease inflation risks
Improve India’s macro outlook
Support corporate margins and consumption
The dollar index declined over 1 percent, while the rupee appreciated by 41 paise to 92.58 per dollar.
Stronger rupee improves foreign investor sentiment
May slow or reverse FPI outflows
Global markets rallied strongly:
Asian indices such as Nikkei and Kospi jumped up to 6 percent
European markets including CAC, DAX and FTSE rose up to 4 percent
US futures pointed to strong gains
The Reserve Bank of India kept the repo rate unchanged at 5.25 percent and maintained a neutral stance.
Policy continuity reassured markets
Liquidity conditions remain supportive
Growth outlook stays intact
The sharp rally reflects a decisive shift in sentiment driven by global triggers, particularly easing geopolitical risks and falling oil prices. While the near-term outlook has improved, markets may remain sensitive to further developments in West Asia and global cues.
For now, the momentum remains firmly with the bulls, supported by favourable macro signals and renewed risk appetite.
