Sensex soars 941 pts, Nifty tops 24,300 as US-Iran peace hopes ignite rally
The market opened with strong gains, tracking upbeat global cues and a sharp decline in crude oil prices after U.S. President Donald Trump signaled meaningful progress toward a possible deal with Iran.
Cooling geopolitical tensions dragged Brent crude prices below the $105-per-barrel mark, while the rupee rebounded strongly to hover near the 94-per-dollar level.
The Nifty surged past the 24,300 mark, powered by robust buying in banking shares. Barring the Nifty FMCG index, all sectoral indices on the NSE ended firmly in the green.
The S&P BSE Sensex surged 940.73 points or 1.22% to 77,958.52. The Nifty 50 index jumped 298.15 points or 1.24% to 24,330.95.
State Bank of India (up 3.38%), HDFC Bank (up 3.11%) and ICICI Bank (up 2.24%) boosted the indices today.
In the broader market, the BSE 150 MidCap Index advanced 1.67% and the BSE 250 SmallCap Index rallied 1.77%.
The market breadth was strong. On the BSE, 2,862 shares rose and 1,365 shares fell. A total of 172 shares were unchanged.
The NSE's India VIX, a gauge of the market's expectation of volatility over the near term, declined 6.86% to 16.68.
US-Iran Peace Deal:
According to media reports, the United States and Iran may be moving closer to an agreement aimed at ending the ongoing conflict in the Middle East.
The White House reportedly believes it is nearing a deal with Iran on a one-page memorandum of understanding that would create a framework for broader nuclear negotiations. The media report said Washington expects Tehran to respond to key proposals within the next 48 hours.
While no final agreement has been reached, the report said this is the closest both sides have come to resolving the conflict since fighting began in late February.
Under the proposed framework, Iran would agree to a moratorium on nuclear enrichment. In return, the U.S. would lift sanctions and release billions of dollars in frozen Iranian funds. Restrictions on the Strait of Hormuz would also be removed, allowing normal transit through the strategic waterway to resume, according to the report.
Earlier, Donald Trump said the U.S. had paused operations aimed at reopening the Strait of Hormuz and added that progress was being made toward an agreement with Iran.
Economy:
The HSBC India Services PMI Business Activity Index rose to 58.8 in April from 57.5 in March, marking the strongest expansion in activity since November last year.
Indian services companies reported stronger growth in output and new business during the month. Firms cited rising e-commerce activity and improved underlying demand as key growth drivers. Companies also noted that a shift from international to domestic suppliers amid the Middle East conflict boosted transport activity.
Meanwhile, the HSBC India Composite PMI Output Index increased to 58.2 in April 2026 from 57.0 in March, indicating a robust pace of expansion in overall private sector activity.
Numbers to Track:
In the foreign exchange market, the rupee edged higher against the dollar. The partially convertible rupee was hovering at 94.5700 compared with its close of 95.1800 during the previous trading session.
The yield on India's 10-year benchmark federal paper declined 1.71% to 6.896 compared with previous session close of 7.016.
MCX Gold futures for 5 June 2026 settlement rose 2.05% to Rs 152,763.
The US Dollar Index (DXY), which tracks the greenback's value against a basket of currencies, was down 0.67% to 97.83.
The United States 10-year bond yield declined 1.67% to 4.344.
In the commodities market, Brent crude for July 2026 settlement slumped $9.27 or 8.44% to $100.60 a barrel.
Global Markets:
US Dow Jones futures surged 539 points, signaling a strong opening for Wall Street later in the day.
European indices advanced on Wednesday after reports suggested that the U.S. and Iran were moving closer to an agreement that could end the ongoing Middle East conflict.
Asian indices also closed higher, tracking overnight gains on Wall Street. Investor sentiment improved after oil prices declined and strong corporate earnings boosted risk appetite.
Indicating progress in diplomatic efforts, Donald Trump said the U.S. operation to guide ships through the Strait of Hormuz had been temporarily paused.
?We have mutually agreed that, while the Blockade will remain in full force and effect, Project Freedom will be paused for a short period of time to see whether or not the Agreement can be finalized and signed,? Trump said in a post on Truth Social.
The U.S. military had launched ?Project Freedom? on Monday to guide commercial ships through the Strait of Hormuz. U.S. Defense Secretary Pete Hegseth said on Tuesday that two U.S. commercial ships, accompanied by American destroyers, had safely passed through the strait.
On Wall Street, U.S. equities closed higher on Tuesday as investors reacted positively to a series of strong earnings announcements and easing oil prices.
The S&P 500 climbed 0.81% to close at a record 7,259.22. The Nasdaq Composite gained 1.03% to finish at an all-time high of 25,326.13. The Dow Jones Industrial Average advanced 356.35 points, or 0.73%, to end at 49,298.25.
Stocks in Spotlight:
Shares of SpiceJet rose 4.96%, while InterGlobe Aviation gained 6.60% after the Union Cabinet approved Emergency Credit Line Guarantee Scheme (ECLGS) 5.0 for MSMEs and airlines affected by the West Asia conflict. The scheme aims to facilitate additional credit flow of Rs 2.55 lakh crore. This includes Rs 5,000 crore earmarked for airlines.
Coforge soared 9.62% after the company reported a 144.72% surge in consolidated net profit to Rs 612.3 crore on 5.17% jump in revenue from operations to Rs 4450.4 crore in Q4 FY26 over Q3 FY26.
Ajanta Pharma rose 6.63% after the pharmaceutical company reported healthy Q4 FY26 earnings. On a consolidated basis, net profit rose 18.4% YoY but declined 2.6% QoQ to Rs 266.70 crore in Q4 FY26. Revenue from operations stood at Rs 1,421.64 crore in Q4 FY26, up 21.5% YoY and 3.4% QoQ. EBITDA stood at Rs 333 crore in Q4 FY26, up 12% YoY from Rs 297 crore in Q4 FY25. EBITDA margin came in at 23%.
Aye Finance rose 9.34% after the company announced the appointment of Gaurav Seth as chief financial officer. Managing director Sanjay Sharma said Seth?s experience in financial services and governance would support the company's growth plans and expansion strategy.
Vodafone Idea rallied 4.63% after the telecom operator appointed Kumar Mangalam Birla as the non-executive chairman of its board, marking his return to the role after nearly five years.
Raymond Realty hit an upper circuit of 20% after the company reported a sharp rise in consolidated net profit to Rs 161.12 crore in Q4 FY26, up over 67 times from Rs 2.40 crore a year earlier. Revenue from operations surged 888.24% YoY to Rs 1,156.74 crore in Q4 FY26.
KPI Green Energy surged 5.73% after its consolidated net profit jumped 49.23% to Rs 155.47 crore in Q4 FY26, compared with Rs 104.18 crore in Q4 FY25. Total revenue for Q4 FY26 stood at Rs 810.20 crore, up 40.22% year-on-year from Rs 577.80 crore in Q4 FY25, driven by strong execution momentum across renewable energy projects and higher contribution from key business verticals.
Larsen & Toubro (L&T) declined 1.18% after the company reported a 3.12% decline in consolidated net profit to Rs 5,325.60 crore, despite a 11.25% increase in revenue from operations to Rs 82,762.16 crore in Q4 FY26 over Q4 FY25.
In addition, the company?s Minerals & Metals (M&M) business vertical secured mega order from JSW Steel. The contract involves comprehensive engineering, procurement and installation of key process facilities, including blast furnaces and steel melt shops, for multiple brownfield and greenfield expansion projects. The projects will be executed primarily at JSW Steel?s facilities in Ballari and Paradip. As per the company?s classification, the order falls in the ?mega? category, with a value ranging between Rs 10,000 crore and Rs 15,000 crore.
Hero MotoCorp advanced 1.11% after the company has reported 29.62% rise in standalone net profit to Rs 1,401.13 crore on a 28.75% increase in revenue from operations from Rs 12,796.53 crore in Q4 FY26 over Q4 FY25.
SRF rallied 7.59% after the company reported a 10.6% surge in consolidated net profit to Rs 582.02 crore in Q4 FY26, compared with Rs 526.06 crore in Q4 FY25. Total revenue from operations rose 7% year on year (YoY) to Rs 4,615.17 crore in the quarter ended 31 March 2026.
United Breweries (UBL) declined 2.31%. The company reported a 4.31% jump in consolidated net profit to Rs 101.78 crore in Q4 FY26, compared with Rs 97.57 crore in Q4 FY25. Revenue from operations (excluding excise duty) fell 3.14% YoY to Rs 2,250.07 crore in Q4 FY26.
Powered by Capital Market - Live News
