Sensex Soars 450 Points, Nifty Reclaims 24,150 As Markets Extend Rally

Sensex Rallies Over 450 Points, Nifty Crosses 24,150 As Global Markets Cheer AI Boom

Indian equity benchmarks opened sharply higher on Thursday, mirroring a strong rally across Asian markets after upbeat forecasts from global semiconductor firms boosted optimism around artificial intelligence-led growth. Falling crude oil prices and a strengthening rupee further lifted investor sentiment.

At around 9:28 am, the BSE Sensex was up 454.62 points, or 0.61%, at 77,443.70, while the NSE Nifty50 gained 134 points, or 0.53%, to trade above the 24,150 mark.

Auto, Realty And Financial Stocks Lead Rally

Most sectoral indices traded in the green during early deals, with auto and real estate stocks emerging as the top performers.

The Nifty Realty index rose 1.23%, while Nifty Auto gained 1.03%. Financial stocks also attracted buying interest, with the Nifty Financial Services index advancing 0.59%. IT, private banking and pharmaceutical shares contributed to the positive market breadth.

Metal stocks remained the lone weak spot, with the Nifty Metal index slipping 0.65%.

Among the major gainers on the Sensex were IndiGo, Mahindra & Mahindra, TCS, Maruti Suzuki and HCLTech, while Eternal (formerly Zomato), BEL, Power Grid, Titan and Adani Ports traded lower in early sessions.

Broader markets also participated in the rally, with the Nifty Midcap 100 climbing 0.55% and the Nifty Smallcap 100 adding 0.15%.

Meanwhile, India VIX, often referred to as the market’s fear gauge, fell 2.68% to 13.03, signalling reduced volatility and improving investor confidence.

Asian Markets Surge On Strong Semiconductor Outlook

Global sentiment received a major boost after fresh updates from leading semiconductor companies reinforced expectations of sustained demand driven by artificial intelligence.

Micron Technology disclosed customer commitments worth $22 billion for its memory chips, while Qualcomm projected data-centre revenues of $15 billion annually by 2029. The announcements fuelled optimism across technology and AI-linked stocks globally.

Japan’s Nikkei surged more than 2%, while South Korea’s KOSPI jumped 5.5%. MSCI’s Asia-Pacific index excluding Japan gained 1.3%, and US Nasdaq futures rose nearly 1.8%, indicating a positive start for Wall Street.

Rupee Strengthens As Oil Prices Ease

The Indian rupee appreciated by 30 paise against the US dollar to trade at 94.25 in early trade, supported by another decline in crude oil prices.

Brent crude futures slipped 0.5% to $73.34 per barrel, while US West Texas Intermediate crude fell 0.38% to $70.07 per barrel. The decline brought oil prices closer to levels seen before tensions involving Iran disrupted markets.

Lower crude prices are generally considered favourable for India as they help ease inflationary pressures, improve the current account balance and strengthen overall macroeconomic stability.

Analysts See Macro Tailwinds For India

According to market experts, falling crude oil prices have significantly improved India’s near-term economic outlook.

V K Vijayakumar, Chief Investment Strategist at Geojit Investments, said lower oil prices have reduced concerns around India’s current account and balance of payments deficits, creating a supportive environment for growth and equities.

However, he cautioned that concerns around a deficient monsoon remain. Sectors heavily dependent on rural demand, including tractors, agro-machinery, fertilisers and entry-level two-wheelers, could face challenges if rainfall remains below expectations.

On the other hand, urban consumption-driven sectors, premium automobiles, information technology and pharmaceutical companies are expected to remain relatively insulated from monsoon-related risks.

With global technology optimism, easing oil prices and improving domestic macroeconomic indicators, Indian equities began the day on a strong note, extending the positive momentum seen in recent sessions.