Indian stocks surged to all-time highs at the opening bell on Tuesday, driven by increases in energy sector stocks following a reduction in the windfall tax on crude oil.
As of 9:16 am IST, the NSE Nifty 50 climbed 0.25% to 23,523.30, while the S&P BSE Sensex advanced 0.22% to 77,180.69. Both indices surged approximately 0.4% at the open, reaching new record highs. Energy stocks saw a 0.5% increase, with ONGC leading the sector with a 1.2% gain. The government's decision to lower the windfall tax on crude oil to Rs 3,250 ($38.93) per metric ton from Rs 5,200, effective June 15, spurred investor optimism.
Wipro saw a 3% increase following its announcement of extending its digital transformation collaboration with Hanesbrands, making it one of the top five gainers in the Nifty 50. Public sector enterprises rose 1%, continuing their rally from the post-election results for the ninth consecutive session.
State-owned lenders also saw a 0.5% increase. However, Som Distilleries plummeted by 11% after Indian police initiated an investigation into the company. This followed an announcement by the government's child rights agency indicating the presence of child labor at the distillery.