Mumbai, March 24 Indian equity benchmarks opened on a strong note on Tuesday amid hopes of easing tensions in West Asia over remarks by US President Donald Trump on postponing potential strikes on Iran’s energy infrastructure.
Sensex surged as much as 2 per cent or 1,516 points to hit an intra-day high of 74,212, while Nifty opened at 22,878, up 365.80 points or 1.62 per cent.
Sector-wise, all sectors were trading in green zone as buying was seen across the board -- with consumer durables, metals, auto, and PSU bank stocks leading the gains, rising up to 2 per cent.
Financial and mid-small financial indices also advanced over 2 per cent, while IT, FMCG, energy and healthcare indices traded with gains of up to 1 per cent.
Investor sentiment was buoyed after Trump said the United States and Iran had held “very good and productive conversations” over the past two days, and that Washington would postpone any military strikes on Iranian power plants and energy infrastructure for five days, subject to ongoing discussions.
However, Iran’s parliamentary speaker, Mohammad-Bagher Ghalibaf, denied that any talks had taken place with the US, contradicting Trump’s statement. In a post on X, he said, “No negotiations have been held with the US, and fake news is used to manipulate the financial and oil markets…”
Analysts noted that while the rebound reflects easing geopolitical concerns, the sustainability of the rally will depend on further clarity on global developments and crude oil trends.
“Markets are witnessing a relief rally after the recent sharp correction, aided by positive global cues and short-covering. However, the undertone remains cautious as elevated crude prices and geopolitical uncertainty could cap upside. Investors should stay selective and focus on fundamentally strong sectors like financials and defensives,” said a market expert.
Meanwhile, oil prices remained elevated. Brent crude hovered around $104 per barrel, up about 4 per cent, while US WTI crude rose 4.39 per cent as of 8:50 a.m.
Asian markets traded in the green in early trade, with Japan’s Nikkei rising 0.69 per cent, Hong Kong’s Hang Seng gaining 1.5 per cent, and South Korea’s KOSPI advancing around 2 per cent.
On Wall Street, the S&P 500 and Nasdaq closed over 1 per cent higher each.
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