Market Wrap: Sensex adds 208 points, Nifty extends gain for third session, reclaims 25,900; auto, metal stocks shine

Benchmark indices Nifty and Sensex extended their gains for a second straight session on Tuesday, supported by a sharp rally in auto and metal stocks that lifted overall sentiment. Meanwhile, broader markets outperformed, with midcap and smallcap indices rising 0.5% and 0.35%, respectively.

The BSE Sensex rose 208 points to close the session at 84,274 or 0.25% higher, while the Nifty 50 gained 68 points or 0.26% points to end the day at 25,935.

On the 30–share Sensex, Eternal rose over 5% to end the session as the top gainer on the index. Tata Steel followed suit with a rise of 2.82%, while M&M and Tech Mahindra gained more than 1.5% each. HCL Tech, Bajaj Finance, Bharti Airtel, and Adani Ports fell up to 2% on Tuesday.

Expert views

Vinod Nair, Head of Research, Geojit Investments said today’s rise was supported by the US trade agreement and positive cues from key Asian markets. A strong resurgence in FII inflows, coupled with rupee appreciation, is further bolstering the investor sentiment, although intermittent profit-booking was visible across sectors. With tariff-related concerns largely easing, the near-term market trajectory will hinge on Q3 earnings, which have been mixed and below expectations so far. Investors are now focused on the combined impact of recent fiscal and monetary measures to revive earnings momentum in the coming quarters.”

Global Markets

Asian equities moved higher on Tuesday, with gains led by Tokyo markets extending their rally after Japanese Prime Minister Sanae Takaichi’s decisive election win over the weekend. MSCI’s broad Asia-Pacific index excluding Japan rose 0.6%, while the Nikkei 225 climbed 2.3% for a third straight session to a fresh high. The yen also strengthened for a second consecutive day.European markets opened on a mixed note as investors assessed a wave of corporate earnings announcements. The Stoxx index was largely flat with no clear trend across major markets and sectors, while Germany’s DAX advanced 0.4%.

U.S. stock futures traded slightly lower on Tuesday morning after the Dow Jones Industrial Average closed at a fresh record high. Dow futures declined by 25 points, or about 0.04%, while S&P 500 futures slipped 0.06% and Nasdaq 100 futures fell 0.2%.

Crude impact

Oil prices edged higher on Tuesday as traders assessed the risk of potential supply disruptions, with U.S. guidance for vessels passing through the Strait of Hormuz keeping geopolitical tensions between Washington and Tehran in focus.

Brent crude futures rose 29 cents, or 0.4%, to $69.33 per barrel by 0916 GMT, while U.S. West Texas Intermediate crude gained 22 cents, or 0.3%, to $64.58 per barrel. “The market is still focused on the tensions between Iran and the U.S.,” said Tamas Varga, oil analyst at brokerage PVM.

Rupee vs Dollar

The Indian rupee ended 0.2% higher at 90.5775 against the U.S. dollar, compared with its previous close of 90.7575.

(With inputs from agencies)

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)