Sensex Rebounds 776 Points, Crude Oil Slump Ends Five-Day Market Losing Streak

Mumbai: Indian stock markets rebounded strongly on Monday, snapping a five-session losing streak as a sharp fall in crude oil prices and easing geopolitical tensions in West Asia lifted investor sentiment.

The 30-share BSE Sensex gained 776.01 points, or 1.02 percent, to close at 76,835.78. During the session, it climbed as much as 841.74 points to touch 76,901.51.

The NSE Nifty advanced 228.50 points, or 0.96 percent, to settle at 23,995.95, ending its five-day decline.

Oil Relief

Brent crude, the global oil benchmark, plunged 9.40 percent to $87.64 per barrel following a pause in strikes in West Asia.

The decline eased concerns over India’s import bill and inflation outlook, while lower long-term bond yields further supported market sentiment.

Vinod Nair, Head of Research at Geojit Investments, said easing tensions had reduced worries about rising import costs and inflation, triggering a relief rally.

Broad Recovery

Eternal emerged as the top Sensex gainer, rising 5.70 percent. InterGlobe Aviation, Infosys, Bajaj Finance, Asian Paints and Mahindra & Mahindra also closed higher.

HDFC Bank, Power Grid and Axis Bank were among the laggards.

Broader markets outperformed the benchmarks. The BSE SmallCap Select index jumped 1.71 percent, while the MidCap Select index advanced 1.65 percent.

The MidSmall Private Banks Quality Tilt index climbed 2.36 percent. IT gained 2.30 percent, Realty advanced 2.25 percent, Focused IT rose 2.09 percent, Services added 2 percent, Auto increased 1.53 percent and Hospitals gained 1.43 percent.

Telecommunication was the only sectoral laggard. Market breadth remained positive, with 2,776 stocks advancing, 1,580 declining and 202 ending unchanged on the BSE.

Analysts attributed the recovery to falling oil prices, improved global cues, encouraging quarterly earnings and renewed buying in IT shares.

Foreign institutional investors sold equities worth ₹3,892.77 crore on Friday, according to exchange data.

Asian markets, including Japan, South Korea, China and Hong Kong, closed higher. European markets also traded in positive territory, while US markets had ended mostly higher.

Despite Monday’s rebound, the Sensex lost 2,091.68 points and the Nifty declined 566.85 points over the preceding five sessions.