US-Iran peace deal boost investor sentiment
Mumbai, June 15: Stock markets rose for the second straight session with benchmark Sensex closing higher by 736 points on Monday, propelled by a rally in global equities and a sharp decline in crude oil prices after the US and Iran finalised a deal to end their 107-day war.
The 30-share BSE Sensex jumped 736.38 points, or 0.97 per cent, to settle at 76,264.33. During the day, it zoomed 1,293.12 points, or 1.71 per cent, to 76,821.07.
Rising for the second day, the 50-share NSE Nifty surged 231 points, or 0.98 per cent, to end at 23,853.90. During the day, the benchmark rallied 388.5 points, or 1.64 per cent, to 24,011.40. Sensex had rallied 1,695 points or 2.3 per cent and Nifty soared by 461 points or nearly 2 per cent in the previous session on Friday.
The US and Iran finalised a deal to end their 107-day war and open the Strait of Hormuz, the narrow waterway used to ferry one-fifth of the global oil supplies, on Friday after an in-person signing of the agreement in Switzerland.
US President Donald Trump made the announcement on Truth Social on Sunday evening, easing pressure on the global energy markets, as officials said the peace agreement would be signed on June 19 in Switzerland.
Crude oil prices fell to three-month lows in global markets after the announcement of the US-Iran deal. Global benchmark Brent Crude dropped 5 per cent to trade near USD 82.90 per barrel.
Among 30 Sensex firms, Trent was the biggest gainer, rising by 5.35 per cent, InterGlobe Aviation jumped 3.62 per cent, Bajaj Finserv by 3.58 per cent, UltraTech Cement by 3.29 per cent, Eternal by 3.26 per cent and Maruti by 3.06 per cent.
NTPC fell the most by 1.64 per cent, followed by ICICI Bank, Asian Paints and Hindustan Unilever.
Broader markets advanced as the BSE MidCap Select index jumped 1.66 per cent and SmallCap Select index climbed 1 per cent.
Sectorally, Realty surged the most by 3.93 per cent, followed by Auto (2.69 per cent), Consumer Discretionary (2.44 per cent), Consumer Durables (2.02 per cent), Industrials (1.73 per cent) and Services (1.66 per cent).
Hospitals, Healthcare and Metal were the laggards. A total of 3,086 stocks advanced, while 1,323 declined and 206 remained unchanged on the BSE.
“The interim USâ?”Iran peace agreement has significantly improved investor sentiment, triggering a broad-based recovery across equity markets. With crude oil prices easing to below USD 85 per barrel, concerns around inflation have moderated, supporting a more stable interest rate outlook and improving earnings visibility for FY27,” Vinod Nair, Head of Research, Geojit Investments Limited, said. (PTI)
