Nifty Surges to 8-Month High; Sensex Adds 700 Points as Volatility Eases and All Sectors Advance

At the day's close, the Nifty 50 advanced 200.40 points or 0.8 per cent to end at 25,244.75, while the Sensex gained 700.40 points or 0.85 per cent, settling at 82,755.51.

Market Update at 4:00 PM: On Wednesday, June 25, Indian equity markets extended gains for a second straight session, with the Nifty 50 closing at its highest level since October 2024. The Sensex also moved in sync, climbing over 700 points, powered by heavyweights like Infosys and HDFC Bank. At the day's close, the Nifty 50 advanced 200.40 points or 0.8 per cent to end at 25,244.75, while the Sensex gained 700.40 points or 0.85 per cent, settling at 82,755.51.

The India VIX dropped below 13, its lowest point in three months, reflecting a decline in market volatility amid easing geopolitical concerns following the Iran-Israel ceasefire.

Sector-wise, all 11 major indices ended in the green, with notable buying in IT and media counters. Broader indices also saw gains — the Nifty Smallcap 100 surged 1.49 per cent and the Midcap 100 added 0.44 per cent.

Nifty Media led sectoral gains, rallying 1.91 per cent, driven by a 15 per cent spike in Network18. The Nifty IT index followed with a 1.59 per cent rise.

Out of 2,990 stocks traded on the NSE, 2,135 advanced, 776 declined, and 79 closed unchanged. There were 51 stocks hitting 52-week highs and 23 touching their 52-week lows. A total of 106 stocks were locked in upper circuits, while 45 were in lower circuits.

Market Update at 12:15 PM: Indian equities advanced on Wednesday, mirroring a global uptick in risk appetite after geopolitical tensions in the Middle East cooled with a tentative ceasefire between Israel and Iran.

At 12:05 p.m. IST, the Nifty 50 was up by 0.60 per cent at 25,193, while the BSE Sensex climbed 0.72 per cent to 82,646. Gains were broad-based, with all 13 sectoral indices in the green. Broader indices also performed well—Small-Cap stocks added 1.5 per cent, and Mid-Cap counters rose 0.3 per cent.

Market heavyweights such as HDFC Bank and Reliance Industries posted gains of around 1 per cent each.

Globally, investor sentiment remained upbeat. The MSCI World Index reached a record level, while Asian and emerging market stocks saw their highest levels since early 2022. The rally followed easing hostilities between Iran and Israel, influenced by diplomatic pressure from U.S. President Donald Trump.

Market Update at 10:30 AM: Indian benchmark indices opened on a positive note Wednesday, reflecting improved global sentiment following reports of a temporary ceasefire between Israel and Iran that helped ease tensions in the Middle East.

As of 9:15 a.m. IST, the Nifty 50 was up 0.42 per cent at 25,150.35, while the BSE Sensex climbed 0.48 per cent to 82,448.8. Gains were broad-based, with all 13 key sectoral indices trading in the green. The broader smallcap and midcap indices also advanced, rising 0.6 per cent and 0.4 per cent, respectively.

In the previous session, both Nifty and Sensex had approached nine-month intraday highs but retreated due to profit-taking, triggered by reports of an early ceasefire breach. Despite this, signals from Iran and Israel suggest that the hostilities have paused, following a public warning from U.S. President Donald Trump urging both sides to adhere to the truce.

Pre-Market Update at 8:00 AM: Indian stock markets are expected to open on a positive note on Wednesday, June 25, following encouraging signals from global peers. The optimism stems from the announcement of a ceasefire between Israel and Iran, which has brought temporary relief to geopolitical tensions in the Middle East.

At 7:29 AM, the GIFT Nifty was trading around the 25,179 level, reflecting a rise of 101 points from its previous close. This points toward a gap-up start for domestic indices. Asian equities also edged higher, taking cues from the U.S. market, where all major indices surged over 1 per cent in the previous session.

On the institutional front, domestic investors (DIIs) continued to support the market with net purchases for the past two sessions. In contrast, foreign investors (FIIs) remained net sellers. On June 24, FIIs sold equities worth Rs 5,266.01 crore, while DIIs bought stocks amounting to Rs 5,209.60 crore.

After 12 days of hostilities, Israel and Iran have agreed to halt military actions. The conflict had intensified with U.S. involvement, as President Donald Trump ordered strikes on Iran's nuclear sites. While Israel's Prime Minister Benjamin Netanyahu referred to the ceasefire as a major win, U.S. intelligence indicated that the strikes only delayed Iran’s nuclear plans by a few months.

Despite opening strong, Indian indices faced selling pressure later in the session. The Sensex fell sharply by over 1,100 points from the day’s peak, hitting a low of 81,900.12 before rebounding to close 158 points higher at 82,055.11. The Nifty 50 also slipped below the 25,050 level but managed to end with a 72-point gain at 25,044.35.

Markets in Asia opened with caution, as investors digested the ceasefire news and comments from U.S. Federal Reserve Chair Jerome Powell, who adopted a balanced tone on interest rate policy.

On Tuesday, U.S. markets closed with strong gains amid reduced geopolitical concerns. The Dow Jones rose by 1.19 per cent, the S&P 500 by 1.11 per cent, and the Nasdaq climbed 1.43 per cent. Powell's congressional testimony highlighted the possibility of a temporary rise in inflation due to new tariffs but indicated that the Fed is not in a rush to cut rates.

Crude oil prices inched higher, with Brent crude at USD 67.87 per barrel (up 1.09 per cent) and WTI at USD 65.16 per barrel (up 1.23 per cent), as traders assessed the stability of the ceasefire.

Gold prices were steady, with spot gold at USD 3,326.39 per ounce and U.S. gold futures up 0.2 per cent at USD 3,340. The demand for gold remained muted as safe-haven buying subsided.

The U.S. dollar weakened slightly amid the improved risk appetite, with the dollar index easing to 97.91. Meanwhile, bond yields declined, with the two-year U.S. Treasury yield dropping to 3.7870 per cent—a six-week low—and the 10-year yield flat at 4.3043 per cent.

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Disclaimer: The article is for informational purposes only and not investment advice.