Indian stock markets opened higher on Thursday, tracking a decline in global crude oil prices. The BSE Sensex surged over 200 points in early trade, while the NSE Nifty gained 60 points, reflecting positive investor sentiment.
Market Performance
The 30-share BSE Sensex climbed 203.5 points to 72,456.78 in early trade. Similarly, the broader NSE Nifty advanced 61.3 points to 22,010.45. The rally was broad-based, with banking, auto, and IT stocks leading the gains.
Key Drivers
The primary catalyst for the uptick was a sharp drop in global oil prices. Brent crude fell below $80 per barrel for the first time in over a month, easing concerns about inflationary pressures. Lower oil prices are beneficial for India, which imports over 80% of its crude oil requirements.
- Banking stocks: The Nifty Bank index rose 0.8%, with HDFC Bank and ICICI Bank among the top gainers.
- Auto stocks: The auto sector gained 1.2% on expectations of lower input costs.
- IT stocks: Infosys and TCS contributed to the positive momentum.
Global Cues
Asian markets traded mixed, with Japan's Nikkei and China's Shanghai Composite showing modest gains, while Hong Kong's Hang Seng was flat. US markets ended higher overnight, supported by a drop in bond yields.
Expert Views
Market analysts attribute the early gains to the softening of crude prices, which could help contain India's current account deficit and inflation. However, they caution that volatility may persist ahead of key economic data releases.
Investors are now awaiting the release of US jobless claims and India's industrial production data later in the day for further direction.
