MUMBAI — Indian stock market benchmark indices opened in green on Wednesday morning, tracking a broader rally across global markets as cooling crude oil prices and fresh foreign capital inflows lifted domestic investor confidence.
In early trading, the 30-share BSE Sensex surged 285 points to touch 77,944.02, while the broader 50-share NSE Nifty rose 23.25 points to trade at 24,356.10. The positive start extends gains from the previous session, where late-stage buying pulled both indices out of negative territory.
Financials Lead Early Winners
Among the 30 stocks comprising the Sensex pack, major banking and financial heavyweights led the rally. ICICI Bank, State Bank of India, Kotak Mahindra Bank, Eternal, and Bajaj Finserv were among the top gainers alongside Asian Paints.
Conversely, IT and tech majors experienced minor selling pressure, with Infosys, Bharti Airtel, Larsen & Toubro, and Bharat Electronics featuring among the early laggards.
Falling Crude Oil Provides Macro Tailwinds
The key catalyst behind Wednesday's upward momentum remains the sharp retreat in global energy prices. Brent crude—the international benchmark for oil—declined 2.66% to trade near $86.22 per barrel, extending its fall from last week's highs near $94.
Analysts point out that easing crude prices offer vital relief to the Indian economy, which relies heavily on energy imports to meet its domestic demand.
"Crude oil has emerged as a key positive catalyst. For domestic markets, the retreat in oil prices provides a meaningful near-term tailwind after energy-driven inflation worries dominated sentiment over recent weeks," noted Ponmudi R, CEO of Enrich Money. He added that while geopolitical friction between the US and Iran persists, diplomatic dialogue surrounding the Strait of Hormuz has helped ease immediate supply-chain anxieties.
Global Cues and Institutional Buying Support
The positive momentum in Mumbai mirrored gains across Asian trading hubs. Regional benchmarks, including South Korea's Kospi, Japan's Nikkei 225, Shanghai’s SSE Composite, and Hong Kong's Hang Seng index, all traded higher, mirroring overnight strength on Wall Street where softening Treasury yields and lower energy costs boosted risk appetite.
Adding further support to Indian equities, Foreign Institutional Investors (FIIs) turned net buyers on Tuesday, purchasing equities worth ₹1,593.53 crore, according to provisional exchange data.
