The S&P BSE Sensex surged by 891.55 points to reach 75,098.79 today, marking a significant recovery from yesterday’s sharp decline.
The NSE Nifty50 also saw a notable increase, adding 277.90 points to close at 23,280.05. This rebound comes after the Nifty50 had closed down 775.65 points or 3.26% the previous day, its worst single-day fall since June 2024.
Market analysts attribute the recovery to renewed hopes of de-escalation in ongoing geopolitical tensions. VK Vijayakumar, a market expert, stated, “There is potential for the market to move up since hope of de-escalation is back.” He further noted that such recoveries are often seen after sharp falls, as selling pressure reduces and investors step in to buy.
Despite the positive movement today, the market remains cautious. The Relative Strength Index (RSI) for Nifty stands at 29.74, indicating oversold conditions. This suggests that while there is a bounce back, the market could still face volatility.
In terms of market activity, Foreign Institutional Investors (FIIs) sold shares worth around Rs 7,558 crore in the previous session, while Domestic Institutional Investors (DIIs) bought shares worth about Rs 3,864 crore.
Vijayakumar cautioned that the sharp fall has wiped out earlier gains, and markets may continue to oscillate between positive and negative triggers. He advised investors not to panic but to remain calm, stating, “If history is any guide, investors should not panic, but keep cool.”
Brent crude was trading at $106.87 per barrel, down 1.63%, while WTI crude stood at $93.72, down 1.92%. These fluctuations in crude prices could also influence market sentiment moving forward.
Details remain unconfirmed regarding the sustainability of this upward trend, as investors will be closely monitoring global developments and domestic economic indicators in the coming days.
