Sensex, Nifty rebound sharply; indices trade higher in early session

Mumbai: Indian equity markets started Tuesday’s session on a positive note, recovering after a sharp sell-off in the previous session.

At around 09:17 am, the BSE Sensex was up 483 points, or 0.6 per cent, at 78,049, while the NSE Nifty gained 139 points to trade at 24,168. Market breadth remained strong, with 1,985 stocks advancing compared to 423 declining shares.

Markets rebound after sharp fall

The early gains came after a steep decline in the previous trading session. On Monday, the Sensex had closed down 1,352.74 points at 77,566.16, while the Nifty fell 422.4 points to 24,028.05.

Both indices had plunged more than 3 per cent intraday amid a surge in crude oil prices, which had triggered concerns about inflation and global economic stability.

Global market sentiment improved overnight as crude oil prices retreated from multi-year highs. The decline in oil prices followed comments by US President Donald Trump suggesting that the conflict involving the United States, Israel and Iran could be nearing an end.

The easing of geopolitical tensions helped calm fears of prolonged disruption to global energy supplies, which had earlier pushed crude prices above $100 per barrel.

Wall Street and Asian markets recover

US markets also recovered in late trading on Monday. The Dow Jones Industrial Average gained 239 points, while the S&P 500 rose 0.83 per cent and the Nasdaq Composite advanced 1.38 per cent.

Asian markets traded higher on Tuesday morning, supported by the pullback in oil prices and improved investor sentiment following Monday’s global sell-off.

Top gainers and losers on Nifty

Among Nifty stocks, InterGlobe Aviation (IndiGo) emerged as the top gainer, rising about 3.4 per cent in early trade.

Other notable gainers included Asian Paints, which climbed nearly 2.8 per cent, and UltraTech Cement, which gained around 2.6 per cent. Stocks such as Shriram Finance, Larsen & Toubro, Adani Ports and Tata Steel also advanced between 1.7 per cent and 2.2 per cent.

On the downside, some energy stocks declined as crude prices eased. ONGC fell about 1.3 per cent, while Coal India and Cipla also traded slightly lower.

Most sectoral indices were in positive territory during early trading.

The Nifty Consumer Durables index rose around 2 per cent, while the Nifty Auto index gained about 1.6 per cent. The Nifty Metal index advanced roughly 1.1 per cent, reflecting improved risk appetite among investors.

Banking stocks also recovered after Monday’s decline. The Nifty Bank index rose about 1 per cent, while the Nifty PSU Bank index gained nearly 1.3 per cent.

Volatility eases as sentiment improves

Market volatility showed signs of cooling, with the India VIX dropping more than 11 per cent to 20.67, indicating improving investor confidence.

Market experts said the recent correction had pushed the market into an oversold zone, which could lead to a short-term rebound.

Ponmudi R, CEO of Enrich Money, said that easing geopolitical tensions and falling crude oil prices had helped restore some risk appetite among investors.

He added that while markets may see a near-term recovery, the overall direction will continue to depend on geopolitical developments, crude oil movements and global investor sentiment.

Key technical levels to watch

Technical analysts said the Nifty is currently hovering around the crucial 24,000 level.

Immediate resistance is seen near 24,300, while 23,700–23,600 is considered an important support range in the short term. Market participants are expected to closely monitor these levels as trading progresses.