The Nifty 50 index surged 1.60% on Monday, breaking out of a nearly four-month consolidation range as investors responded to a sharp decline in crude oil prices and renewed diplomatic engagement regarding Iran.
The decisive move marks a significant shift in market sentiment, ending a prolonged period of sideways trading for the benchmark index.
The rally was broad-based, supported by the debut of new listings including CAS, which added momentum to the session.
The rally was broad-based, supported by the debut of new listings including CAS, which added momentum to the session.
Falling crude prices provided immediate relief to India’s trade balance outlook, while the prospect of de-escalation in the Middle East reduced risk premiums across emerging markets.
This combination of factors allowed the index to clear key technical resistance levels that had capped gains in recent weeks.
This development follows a series of positive sessions for Indian equities.