Market opens higher in early trade; Nifty trades above 23,850 mark

The domestic equity benchmarks opened on a strong note, driven by a sharp decline in oil prices following the announcement of a ceasefire agreement between the US and Iran. Sentiment was further supported by a strengthening rupee, adding to the positive momentum in the markets.

Investors are now closely watching the Monetary Policy Committee (MPC) outcome, with RBI Governor Sanjay Malhotra set to announce key policy decisions at 10 a.m., marking the first meeting of the financial year 2026'27. The Nifty traded above the 23,850 mark. Barring the IT index, all sectoral indices on the NSE were trading in positive territory, led by strong gains in realty, auto, and financial stocks.

At 09:30 IST, the barometer index, the S&P BSE Sensex, climbed 2597.65 points or 3.49% to 77,191.43. The Nifty 50 index soared 763.60 points or 3.30% to 23,887.25.

In the broader market, the BSE 150 MidCap Index surged 3.04% and the BSE 250 SmallCap Index jumped 2.58%.

The market breadth was strong. On the BSE, 3,177 shares rose and 233 shares fell. A total of 91 shares were unchanged.

The NSE's India VIX, a gauge of the market's expectation of volatility over the near term, dropped 18.44% to 20.14.

Foreign portfolio investors (FPIs) sold shares worth Rs 8,692.11 crore, while domestic institutional investors (DIIs) were net buyers to the tune of Rs 7,979.50 crore in the Indian equity market on 07 April 2026, provisional data showed.

Stocks in Spotlight:

Ashiana Housing climbed 12.53% after the company reported a sharp rise in its Q4 performance, with area booked at 11.19 lakh sq ft compared to 8.48 lakh sq ft in the corresponding period last year.

Infosys added 1.75% after the company announced a strategic collaboration with Harness to accelerate agentic AI-led software delivery transformation for enterprises globally.

GAIL (India) jumped 5.61% after the company has entered into a long-term charter party agreement with Alpha Gas, a leading Greek shipping major, for the LNG carrier Energy Fidelity. The charter party agreement was executed between GAIL and Pantheon Maritime Services, a Singapore-based affiliate of Alpha Gas.

Numbers to Track:

The yield on India's 10-year benchmark federal paper fell 1.59% to 6.930 compared with previous session close of 7.042.

In the foreign exchange market, the rupee edged higher against the dollar. The partially convertible rupee was hovering at 92.6400 compared with its close of 93.0600 during the previous trading session.

MCX Gold futures for 5 June 2026 settlement jumped 2.28% to Rs 153,800.

The US Dollar Index (DXY), which tracks the greenback's value against a basket of currencies, was down 0.95% to 98.73.

The United States 10-year bond yield fell 2.37% to 4.240.

In the commodities market, Brent crude for June 2026 settlement lost $14.61 or 13.37% to $94.66 a barrel.

Global Markets:

Asia markets rose after Donald Trump said he had agreed to suspend planned attacks on Iran infrastructure for two weeks.

The move was subject to the Islamic Republic of Iran agreeing to the COMPLETE, IMMEDIATE, and SAFE OPENING of the Strait of Hormuz, POTUS wrote on a social media platform.

Iranian Foreign Minister Abbas Araghchi in a post on a social media platform, on behalf of the country's Supreme National Security Council, said Tehran's armed forces will cease their defensive operations.'

Trump noted the 2-week ceasefire was subject to Iran agreeing to a complete, immediate and safe opening of the Strait of Hormuz. Araghchi said that safe passage via Hormuz Strait will be possible via coordination with Iran's armed forces for the next two weeks.

Overnight on Wall Street, U.S. stocks ended mixed on Tuesday amid signs of progress in negotiations as the minutes ticked down to President Donald Trump's deadline for Iran to open the Strait of Hormuz.

The Dow Jones Industrial Average (DJI), fell 85.42 points, or 0.18%, to 46,584.46, the S&P 500 (SPX), gained 5.02 points, or 0.08%, to 6,616.85 and the Nasdaq Composite (IXIC), gained 21.51 points, or 0.10%, to 22,017.85.

In the last hour of trading, all three major U.S. stock indexes recovered from steep losses earlier in the session after Pakistan's Prime Minister Shehbaz Sharif said on a social media platform that diplomatic efforts for peaceful settlement of the ongoing war in the Middle East were progressing steadily while he urged Trump to extend his Iran deadline for two weeks and requested that Iran open the Strait for the same timeframe as a goodwill gesture.