A sharp fall in crude oil prices amid easing tensions in West Asia and appreciation of rupee, propped up India’s equity markets with Bombay Stock Exchange (BSE) gaining more than 1%, adding ₹5.10 lakh crore in capitallisation.
The 30-share BSE Sensex closed 1.02% higher at 76,835.78 points and the 50-share National Stock Exchange (NSE) Nifty surged 228.50 points, or 0.96% to 23,995.95 points.
More than 2,250 stocks increased of the 3,446 that traded on Monday and all the sectoral indices improved, suggesting a broad-based rally.
The market capitalisation of BSE-listed companies surged ₹5.1 lakh crore to ₹480.8 lakh crore, following the rebound in equities.
“The market has bounced back sharply from near the cluster support of around 23,600 (previous opening upside gap of June 15 and ascending trend line) and is now on the verge of breaking above the immediate resistance of 24,000-24,100 levels,” said Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities
The optimism can be attributed to the 61 paise appreciation in the value of the Indian rupee , pushing it to ₹95.96 a dollar as crude oil dipped to $86.5 a barrel, 6% below the previous session. At the interbank foreign exchange, the rupee opened at 96.18 and touched the low of 96.27 and high of 95.78 against the greenback during the session, finally settling at 95.92 (provisional) against the dollar, up 61 paise against its previous closing level. According to forex traders, the local currency also support from a firm trend in domestic equities and weakness in the US dollar against major currencies.
Further, the Reserve Bank of India (RBI) governor said that Indian banks had drawn FCNR(B) deposits worth $32 billion so far, which is at least half of $50 billion to $70 billion that the monetary authority plans to garner from NRIs, in a bid to reign in the rupee depreciation.
“Despite continued vulnerability to oil related volatility arising from geopolitical tensions, technical indicators have shifted materially. Spot USDINR has slipped below its ascending channel support, signalling potential continuation toward 95.60 and 95.40 in the sessions ahead,” said Dilip Parmar, Senior Research Analyst at HDFC Securities.
In the last five trading sessions, the BSE benchmark tanked 2,091.68 points, or 2.67%, and the Nifty declined 2.32%.
“After five consecutive sessions of losses, the Indian stock market closed on a positive note, supported by broad-based buying and improving global sentiment. Investor confidence strengthened as easing Iran-US tensions pushed crude oil prices lower, reducing inflation concerns for India,” according to Gaurav Garg, Analyst, Lemonn Markets Desk. (with inputs from PTI)
Published - July 27, 2026 07:49 pm IST