Stock market today:
Nifty50 and
BSE Sensex, the Indian equity benchmarks, soared significantly in trade on Tuesday on the back of India and the US announcing a trade deal after months of deadlock.
Sensex and Nifty closed sharply higher on Tuesday, gaining around 2.5 per cent each, as investor sentiment was boosted by the announcement of an India US trade agreement that will see Washington lower reciprocal tariffs on Indian goods to 18 per cent.
The 30 share BSE Sensex, which opened on a strong footing, surged as much as 4,205.27 points or 5.14 per cent during the session to touch an intraday high of 85,871.73. The index later pared gains but still settled 2,072.67 points higher, up 2.54 per cent, at 83,739.13.
The NSE Nifty also witnessed a broad based rally, climbing 639.15 points or 2.55 per cent to close at 25,727.55. At its peak, the index jumped 1,252.8 points or 4.99 per cent to reach 26,341.20.
The rally followed confirmation from US President Donald Trump that India and the United States had finalised a trade deal after his phone conversation with Prime Minister Narendra Modi. Under the agreement, reciprocal tariffs on Indian exports to the US will be reduced to 18 per cent from the existing 25 per cent.
Buying interest was visible across heavyweight stocks. Adani Ports emerged as the top gainer among Sensex constituents, rising 9.12 per cent. Bajaj Finance, InterGlobe Aviation, Power Grid, Sun Pharma, Bajaj Finserv and Reliance Industries also recorded strong gains. Tech Mahindra and Bharat Electronics were the only stocks in the Sensex pack to end in the red.
Sectorally, stocks linked to export oriented industries such as textiles, leather, gems and jewellery, seafood exports and specialty chemicals saw a sharp upswing, aided by expectations of improved competitiveness in the US market.
"Indian equities experienced a significant rally today, driven by the long-anticipated India–US trade deal and a strengthening rupee, which boosted expectations of renewed FII inflows.
"The reduction of US tariffs on Indian goods from 50 per cent to 18 per cent enhances India's competitive position among emerging markets and bolsters the outlook for export-oriented sectors with high US exposure, such as textiles, aquaculture, gems and pharmaceuticals, which were supported in the 2026 Union Budget," Vinod Nair, Head of Research, Geojit Investments Limited, said.
Global cues were also supportive. In Asia, South Korea’s Kospi rebounded sharply, jumping nearly 7 per cent, while Japan’s Nikkei 225, China’s Shanghai Composite and Hong Kong’s Hang Seng index all closed higher. European markets were trading in positive territory, and US equities ended higher on Monday.
Exchange data showed that foreign institutional investors sold equities worth Rs 1,832.46 crore on Monday, while domestic institutional investors remained net buyers, purchasing shares worth Rs 2,446.33 crore.
Meanwhile, Brent crude, the international oil benchmark, declined 0.65 per cent to USD 65.87 per barrel.
In the previous session on Monday, the Sensex had advanced 943.52 points or 1.17 per cent to close at 81,666.46, while the Nifty gained 262.95 points or 1.06 per cent to end at 25,088.40.
(Disclaimer: Recommendations and views on the stock market, other asset classes or personal finance management tips given by experts are their own. These opinions do not represent the views of The Times of India)