The Indian stock markets closed higher on Monday, with the BSE Sensex rising 291.17 points to settle at 77,094.07, driven by softening crude oil prices and supportive global cues.
Market performance
The 30-share BSE Sensex climbed 0.38% during the session, after touching an intraday high of 77,325.56, a gain of 522.66 points. The broader NSE Nifty also advanced, gaining 90 points to close at 23,432.
According to market analysts, the positive sentiment was largely attributed to a decline in global crude oil prices, which eased concerns over inflation and input costs. Additionally, supportive cues from Asian and European markets bolstered investor confidence.
Sectoral trends
Buying was seen across most sectors, with IT, banking, and auto stocks leading the gains. The BSE IT index rose 1.2%, while the banking index added 0.8%. Auto stocks also performed well, with the BSE Auto index gaining 0.6%.
On the other hand, some defensive sectors like FMCG and pharma witnessed mild profit-taking, but overall market breadth remained positive.
Global factors
Oil prices softened amid reports of increased supply from major producers and concerns over slowing demand. Brent crude futures fell below $75 per barrel, providing relief to oil-importing nations like India.
Global markets also traded higher, with Asian indices like Japan's Nikkei and Hong Kong's Hang Seng posting gains. European markets opened in positive territory, further supporting the domestic rally.
Outlook
Market participants will continue to monitor oil price movements and global economic data for further cues. Domestic factors such as monsoon progress and corporate earnings will also influence investor sentiment in the coming sessions.
The rupee strengthened marginally against the US dollar, closing at 82.45, supported by the equity market gains and lower oil prices.
