BT Opening Bell | Sensex rises 565 pts, Nifty above 24,350; Eternal, L&T lead gainers

Domestic benchmark indices Sensex and Nifty opened higher on Thursday, tracking upbeat cues from global markets amid easing crude oil prices on the hopes of peace talks and de-escalation between the US and Iran.

At 9:20 am, the BSE Sensex gained 565.12 points, or 0.72%, to 78,676.36. The NSE Nifty rose 155.55 points, or 0.64%, to 24,386.85, briefly touching a high of 24,397.70.

The crude market and the US stock market indicate that the West Asian conflict is unlikely to last long, said VK Vijayakumar, Chief Investment Strategist, Geojit Investments Limited, noting that the stock market is discounting an early end to the conflict. 

Among Sensex constituents, Eternal advanced 1.97% to Rs 251.35. Larsen & Toubro (L&T) gained 1.26%, while Infosys, SBI and Bajaj Finance rose 1.19%, 1.06% and 1.06%, respectively.

Broader Asian markets traded higher today. Japan’s Nikkei 225 advanced 2.43% to 59,549.59, while South Korea’s Kospi jumped 2.04% to 6,215.64, and Hong Kong’s Hang Seng was trading 0.89% higher to 26,241.16. 

Wall Street ended mostly higher overnight, with two of three major indices closing in the green. The S&P 500 rose 0.80% to settle at 7,022.95, while the Dow Jones Industrial Average edged down 0.15% to close at 48,463.72. The Nasdaq Composite jumped 1.59% to end at 24,016.02.

“From a technical perspective, the Nifty 50 has managed to sustain above the 24,200 mark, strengthening the near-term trend. Immediate support is seen near 24,100–24,150, while resistance is placed around 24,450–24,500. A sustained move above resistance could extend the ongoing rally,” said Aakash Shah, technical research analyst at Choice Equity Broking Private Limited.

“However, after the recent sharp rally, the market may witness some consolidation or profit booking at higher levels. Sustaining above the 24,450–24,500 zone will be crucial for further upside momentum," Shah added.

In the previous session on Wednesday, the Sensex gained 1263.67 points, or 1.64%, to settle at 78,111.24, while the Nifty surged 388.65 points, or 1.63%, to close at 24,231.30.