Market Opening: Sensex Climbs 264 Points, Nifty Crosses 23,450 as IT Stocks Drive Gains

Indian equity benchmarks opened in positive territory on Tuesday, September 15, supported by a strong rally in IT stocks.

However, persistent concerns over elevated crude oil prices and geopolitical tensions in West Asia kept investors cautious. At 9:24 am, the Sensex was trading 263.67 points, or 0.35%, higher at 75,045.43. The Nifty50 gained 83 points to trade at 23,486.45.

IT Stocks Drive Early Gains

Technology shares emerged as the biggest drivers of the early rally. HCL Technologies led the Sensex gainers, jumping 6.12%. Infosys advanced 5.49%, Tech Mahindra climbed 5.30%, while Tata Consultancy Services (TCS) gained 4.98%. HDFC Bank and Hindustan Unilever were also among the stocks trading higher.

The Nifty IT index surged around 5% in early deals, significantly outperforming the broader market. The broader IT and telecom index also advanced 1.83%.

The strong performance of IT stocks comes amid a mixed global environment, with investors assessing the outlook for technology spending, artificial intelligence and the potential impact of rapid AI development on the sector.

Crude Oil Remains A Key Concern

Despite the gains in equities, higher crude prices continued to pose a major risk for Indian markets. WTI crude was trading near $102.68 a barrel, while Brent crude stood around $106.96.

Oil prices have remained elevated amid renewed geopolitical tensions in West Asia. A fresh attack by Yemen’s Iran-aligned Houthis on Saudi Arabia, along with Gulf Arab states postponing planned talks with Iran, has increased concerns about potential disruptions to energy supplies and shipping routes.

Higher crude prices are particularly significant for India, which depends heavily on imported oil. A sustained increase in energy costs could add to inflationary pressures, widen the trade deficit, weigh on the rupee and squeeze corporate profit margins.

Asian Markets Send Mixed Signals

Asian equities were largely subdued on Tuesday as investors assessed geopolitical risks, oil prices and monetary policy expectations.

MSCI’s broadest index of Asia-Pacific shares outside Japan slipped 0.12%, while South Korea’s KOSPI declined 0.25%. Japan’s Nikkei, however, traded marginally higher.

Global investors are also awaiting major central bank decisions. The US Federal Open Market Committee is set to begin its two-day policy meeting on Tuesday, while the Bank of Japan is scheduled to announce its monetary policy decision later this week.

Rising global bond yields have added to market uncertainty. The US 10-year Treasury yield briefly touched 5%, its highest level since 2023, amid concerns over inflation and the possibility of tighter monetary conditions.

Broader Market Remains Under Pressure

The gains in the benchmark indices were not reflected across the broader market, with several major stocks trading in negative territory during early deals.

BEL fell 2.16%, making it one of the biggest losers. NTPC, Larsen & Toubro, Mahindra & Mahindra, Kotak Mahindra Bank, Bajaj Finserv, Titan, IndiGo and Reliance Industries were also among the stocks that declined.

The early market trend therefore remained mixed, with strong buying in IT stocks providing support to the benchmarks while expensive crude, geopolitical uncertainty, rising bond yields and weak market breadth continued to limit broader gains.