The Indian equity market staged a sharp rebound on March 24, with benchmark indices rising nearly 2 percent each amid easing global tensions, supportive global cues and currency stability. The rally added about ₹8 lakh-crore to investor wealth in a single session.
The BSE Sensex jumped 1,372 points, or 1.89 percent, to close at 74,068, while the Nifty 50 gained 440 points, or 1.78 percent, to settle at 22,912. Broader markets also participated, with the BSE 150 mid cap index rising 2.5 percent and the BSE 250 small cap index advancing 2.2 percent.
The total market capitalisation of BSE-listed companies climbed to about ₹423 lakh-crore from ₹415 lakh-crore in the previous session.
Investor sentiment improved after US President Donald Trump indicated progress in talks with Iran, raising hopes of a possible resolution to the Middle East conflict. Reports suggesting a potential timeline to end hostilities also lifted global risk appetite.
Asian markets tracked overnight gains in US equities, where the S&P 500 and Nasdaq rose over 1 percent. Markets in Japan, South Korea and China advanced up to 2 percent, providing a strong tailwind for domestic equities.
The rally was also supported by short covering as markets rebounded from oversold levels. Analysts pointed to strong support for the Nifty around 22,800–22,650, with the potential for further upside towards 23,175–23,300 if momentum sustains.
The Indian rupee strengthened by 10 paise to close at 93.87 against the dollar. Currency stability is seen as crucial for reversing sustained foreign institutional investor outflows, which have weighed on markets in recent sessions.
Market experts believe that sustained stability in the rupee and further clarity on geopolitical developments will be key to extending the current rally, while any reversal below key support levels could trigger renewed caution among traders.
