Benchmark stock indices rallied on Thursday, finishing with solid gains after a shaky start. The S&P BSE Sensex rose 1,508.91 points to close at 78,553.20, while the NSE Nifty50 gained 414.45 points to 23,851.65.
Despite lingering concerns about Donald Trump's tariff policy, broader market indices rose, indicating improved investor sentiment. A key positive was the continued drop in volatility, which provided some relief to traders.
Earlier in the day, IT stocks dragged down the market, but strong buying in banking and financial services stocks reversed the trend, propelling both indices higher.
The top Nifty50 gainers included Eternal (Zomato), Sun Pharma, ICICI Bank, Bharti Airtel, and Bajaj Finserv. Top drags included Wipro, Hindalco, Tech Mahindra, Hero MotoCorp, and JSW Steel.
Bank stocks
The Bank Nifty index led the rally, rising nearly 2%, boosted by gains in major financial stocks like HDFC Bank and ICICI Bank. This surge occurred ahead of their Q4 earnings reports, which are scheduled for April 19. Top banks including HDFC Bank, ICICI Bank, Axis Bank, and Kotak Mahindra Bank contributed approximately 600 points to the Sensex's 1,200-point increase.
Weakening dollar
The US dollar continued its downward trend, dropping to 99.56 from 109.88 in February. A weaker dollar typically increases the appeal of emerging markets such as India, attracting foreign investment and strengthening the rupee. This development boosted investor sentiment, particularly in currency-sensitive sectors such as metals.
