Sensex Climbs 450 Points, Nifty Reclaims 25,000 on Positive Global Sentiment

Indian equity markets continued their upward trajectory on Monday, logging strong gains for the second consecutive session, buoyed by improving global sentiment and supportive domestic factors.

The BSE Sensex rose 455 points, or 0.56%, to settle at 82,176.45, while the Nifty 50 closed above the key 25,000 mark for the first time, ending 148 points, or 0.60%, higher at 25,001.15. 

Broader markets also posted modest gains, with the BSE Midcap and Smallcap indices rising 0.56% and 0.48%, respectively. Investor wealth surged by ₹3 lakh crore in a single session, with the total market capitalisation of BSE-listed companies touching ₹445 lakh crore.

Among sectoral performers, the Nifty Auto index led the charge, buoyed by strong gains in Bajaj Auto and Mahindra & Mahindra. ICICI Bank also contributed meaningfully to the day’s gains, lifting banking stocks.

Top movers:

• Bajaj Auto and JSW Steel emerged as the top gainers on the Nifty.
  
  
• The Nifty Midcap 150 advanced 0.5%, powered by Linde India and Timken India.
  
  
• The Nifty Smallcap 250 also rose nearly 0.5%, led by BEML and Finolex Industries.
  
  

Sectors including IT, FMCG, Metals, Realty, Oil & Gas, Financial Services, and PSU Banks extended their gains for a second consecutive session, signaling sustained institutional interest.

Notably, the Nifty Media index climbed for the fourth day in a row, while Nifty Pharma broke a two-day losing streak.

This sector-wide momentum, alongside strong retail flows and a positive global backdrop, underscores growing bullish sentiment as we head into the final trading days of May.

Market breadth remained positive:

• 2,291 stocks advanced,
  
  
• 1,747 declined, and
  
  
• 195 remained unchanged.
  
  

A total of 103 stocks hit 52-week highs, while 39 hit lows. As many as 314 stocks were locked in the upper circuit, and 250 in the lower circuit, reflecting elevated activity in the broader market.

Outlook

While foreign portfolio flows into Indian equities remain choppy, with net inflows of $2.25 billion in May, the combination of global relief, a robust domestic economy, and a surge in retail enthusiasm is expected to underpin market sentiment in the near term.

Current Market Update

• The Sensex is trading at 82,205.42 up by 484.34 points or 0.59%.
• The NSE Nifty 50 is trading at 24,996.20 up by 143.05 points or 0.58%.

Top 5 Gainers in the Market

• Bajaj Auto  (BAJAJ-AUTO)

• Opening Price: ₹8784.50
• Current Market Price (LTP): ₹8947.50
• Percentage Change: +2.36%

Shares of Bajaj Auto are up primarily due to strong market sentiment following a robust price breakout, with the stock trading above its second resistance level and reflecting sustained bullish momentum. Additionally, the company has posted impressive financial performance, including an 8% year-on-year jump in net profit for the latest quarter and a notable 11.4% gain in share price over the past month, further fueling investor optimism.

• Hero Motocorp  (HEROMOTOCO)

• Opening Price: ₹4309.90
• Current Market Price (LTP): ₹4399.90
• Percentage Change: +2.11%

Investor interest in Hero MotoCorp surged as the stock gained on the back of upbeat analyst outlooks and robust technical signals. Recent 'Buy' recommendations from leading brokerages, optimism around new product launches and electric vehicle initiatives, as well as signs of rural demand recovery and stronger margins, all contributed to the positive movement in the share price.

• Mahindra & Mahindra (M&M)

• Opening Price: ₹3038.00
• Current Market Price (LTP): ₹3074.50
• Percentage Change: +2.05%

Mahindra & Mahindra shares climbed as investors responded positively to the company's robust recent earnings, including a 22% jump in Q4FY25 net profit and a substantial dividend declaration. The stock's momentum has also been fueled by strong analyst ratings, optimism around its electric vehicle ramp-up, and expectations of continued industry-leading growth driven by new launches and capacity expansion.

• Tata Motors  (TATAMOTORS)

• Opening Price: ₹722.00
• Current Market Price (LTP): ₹732.25
• Percentage Change: +1.95%

Tata Motors shares advanced as investors cheered the delay in the imposition of steep US tariffs on European auto imports, which eased concerns for its Jaguar Land Rover (JLR) business and allowed JLR exports to the US to resume. Additionally, the company’s strong growth outlook, including plans to expand its electric vehicle portfolio and regain market share, further boosted sentiment despite recent subdued quarterly earnings.

• Nestle India  (NESTLEIND)

• Opening Price: ₹2414.40
• Current Market Price (LTP): ₹2456.90
• Percentage Change: +1.76%

Nestle India shares are trading higher as the investor sentiment is upbeat despite it being dropped from BSE Sensex in the upcoming index rejig.

Top 5 Losers in the Market

• Eternal  (ETERNAL)

• Opening Price: ₹232.80
• Current Market Price (LTP): ₹227.34
• Percentage Change: -4.30%

Eternal shares are down about 4.3% as global index providers FTSE Russell and MSCI announced sharp cuts to the stock’s weightage following a reduction in its foreign ownership limit from 100% to 49.5%. This move has triggered fears of massive passive outflows - estimated at around $840 million - as index funds adjust their holdings, leading to heightened selling pressure and a sharp decline in the stock price.

• JSW Steel (JSWSTEEL)

• Opening Price: ₹1009.20
• Current Market Price (LTP): ₹999.90
• Percentage Change: -0.85%

JSW Steel is trading in the red as investors react to a decline in revenue for the March quarter, which fell about 3% year-on-year amid weak steel prices and subdued demand, particularly due to increased cheap imports from China and Southeast Asia. While the company posted a 16% rise in net profit driven by lower input costs and improved margins, the topline contraction and softer-than-expected volume guidance for FY26 have weighed on market sentiment, leading to the stock's decline.

• Sun Pharma (SUNPHARMA)

• Opening Price: ₹1693.10
• Current Market Price (LTP): ₹1670.00
• Percentage Change: -0.81%

Sun Pharma is trading lower as market participants react to its weaker-than-expected Q4 results, which saw net profit decline 19% year-on-year to ₹2,154 crore - falling short of analyst estimates - despite an 8% rise in revenue. The underperformance was largely attributed to continued weakness in its US generics business and exceptional losses, prompting a cautious outlook and weighing on market sentiment.

• Grasim (GRASIM)

• Opening Price: ₹2672.50
• Current Market Price (LTP): ₹2644.70
• Percentage Change: -0.55%

Weakness in Grasim Industries can be traced to disappointing quarterly results - while revenue improved and net loss narrowed, the company’s EBITDA saw a sharp year-on-year decline, falling short of market expectations.

• Ultratech Cement (ULTRACEMCO)

• Opening Price: ₹11800.00
• Current Market Price (LTP): ₹11700.00
• Percentage Change: -0.39%

UltraTech Cement is facing selling pressure as investors remain cautious about the company’s recent diversification into the wires and cables segment - a move that has raised concerns about straying from its core cement business and managing higher debt levels

Indian equity benchmarks opened with strong gains on Monday, tracking positive cues from Asia and a temporary reprieve on US-EU trade tensions. The Sensex surged over 500 points at the open, while the Nifty50 scaled past the 25,000 mark, as investors responded to the final leg of Q4 earnings and global developments.

As of 9:40 AM, Indian benchmark indices are trading on a strong note. The Sensex and Nifty 50 are up around 0.75% each.

On the primary market front, Aegis Vopak Terminals and Schloss Bangalore’s mainboard IPOs open for subscription today, while Unified Data-Tech Solutions (SME) marks its final subscription day.

India Becomes World’s 4th Largest Economy, Set to Overtake Germany by FY28: NITI Aayog

India has overtaken Japan to become the world’s fourth-largest economy, and is poised to surpass Germany within the next 2.5 to 3 years to claim the third spot, said NITI Aayog CEO B.V.R. Subrahmanyam on Saturday.

According to the International Monetary Fund’s (IMF) April 2025 World Economic Outlook, India’s GDP is projected to reach $4.187 trillion in FY26, narrowly surpassing Japan’s estimated GDP of $4.186 trillion for calendar year 2025. The gap is expected to widen further, with India’s GDP seen touching $4.601 trillion in FY27 compared to Japan’s $4.373 trillion.

Global Market Cues Lift Sentiment

Asian markets traded mostly higher after US President Donald Trump delayed the imposition of 50% tariffs on European Union imports until July 9, offering temporary relief to global investors. Japan’s Nikkei rose 0.7%, with the broader Topix up 0.53%. South Korea’s Kospi climbed 0.7%, while Australia’s ASX 200 remained largely flat.

In the West, all three major US indices closed lower on Friday amid profit booking and macroeconomic concerns. The S&P 500 slipped 0.67%, the tech-heavy Nasdaq Composite lost 1%, and the Dow Jones Industrial Average declined 0.61%, capping a weak end to the week on Wall Street. US stock futures inched up during early Asian hours. US markets will remain shut today in observance of Memorial Day.

Commodities Check | Gold Slips, Oil Inches Higher Amid Global Cues

Domestic gold futures edged lower on Monday morning, tracking a pullback in international prices as safe-haven demand softened. At around 9:10 AM, MCX Gold June 5 contracts were down 0.51% at ₹95,930 per 10 grams. The decline follows a global dip in gold prices from a two-week high, as improved trade sentiment cooled investor anxiety. According to Reuters, the EU requested more time for trade talks, which helped ease immediate concerns.

Last week, MCX gold had surged 2%, driven by a weaker dollar and rising US debt concerns. Going forward, the trajectory of gold will hinge on upcoming US economic data, dollar movement, and further trade-related developments.

Oil prices, meanwhile, edged up in early Asian trade as sentiment improved on signs of a stabilizing global outlook. However, gains remained limited due to lingering oversupply worries, with market participants closely watching for cues from OPEC+ ahead of its July meeting, where a production hike remains on the table.

Currency Watch | Rupee Opens Higher Amid Broad Asian Strength, Softer Dollar

The Indian Rupee opened with gains on Monday, tracking strength in other Asian currencies and a weaker US dollar. The local unit rose 17 paise to 85.05 against the greenback in early trade, following its sharpest single-day jump since November 2022 in the previous session. It had closed at 85.22 on Friday, according to Bloomberg data.

So far this month, the rupee remains down 0.66%. Regional peers   -  including the Korean won, Thai baht, and Indonesian rupiah   -  have gained between 2.5% and 5.5% amid improved risk sentiment and dollar softness.

The recent rally also comes on the back of the Reserve Bank of India’s ₹2.69 trillion dividend transfer to the government, a significant injection of fiscal liquidity. However, analysts note the full impact on system liquidity will unfold as government spending picks up pace.

Q4 Earnings Highlights:

• NTPC: Shares may react positively after the state-run power major posted a 22% YoY rise in Q4 net profit at ₹7,897 crore, aided by operational strength.
  
  
• Transrail Lighting: Stock in focus as Q4 consolidated net profit rose 27% to ₹126.6 crore, backed by robust order inflows and revenue growth.
  
  
• Ashok Leyland: The commercial vehicle major reported its best-ever quarterly and annual performance, with Q4 net profit up 32% YoY to ₹1,130 crore.
  
  
• JSW Steel: Gains likely as Q4 consolidated net profit rose 15.7% YoY to ₹1,503 crore, benefiting from softening input costs and margin expansion.
  
  
• Reliance General Insurance: Now under IndusInd International Holdings, the company posted a 12.5% rise in FY25 net profit to ₹315 crore.
  
  
• Glenmark Pharmaceuticals: Rebounded to a Q4 net profit of ₹4.65 crore from a ₹1,218 crore loss a year ago; revenue rose nearly 7% YoY to ₹3,220 crore.
  

Other Stocks in News:

• ONGC: In focus after announcing new offshore discoveries   -  Suryamani and Vajramani   -  in the Mumbai Offshore basin, with potential to boost future output.
  
  
• Info Edge (India): Watch for action after shareholders cleared a ₹1,000 crore infusion into its third venture fund to strengthen early-stage startup bets.
  
  
• Jaiprakash Associates: May see movement after lenders approved ₹936 crore in spending for Q1, including ₹856 crore in operational expenses and ₹79 crore in one-time outgo.

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