Sensex Rises 421 Points, Nifty Tops 23,650 as Asian Markets Rally

Indian equity benchmarks started the month of June on a positive note today, opening in green as favourable global cues and strong sentiment across Asian markets helped domestic indices recover from the previous session's correction.

The BSE SENSEX stood at 75,196.96 points, up by 421.22 points or 0.56 per cent, while the NSE NIFTY 50 stood at 23,651.70 points, gaining 103.95 points or 0.44 per cent.

The positive domestic opening kept in trend across regional peers, including notable advances in Japan, Hong Kong, and South Korea.

At the time of filing, the GIFT Nifty stood at 23,714.00 points, up 0.10 per cent, Japan's Nikkei 225 jumped 0.74 per cent to 66,820.00 points, Hong Kong's Hang Seng index gained 0.82 per cent to 25,388.00 points, and South Korea's KOSPI surged 4.14 per cent to 8,842.58 points.

In contrast, the Shanghai Composite drifted lower by 0.12 per cent to 4,063.72 points. Rajesh Palviya, Head of Research, Axis Direct, said, "Asian markets have started the week on a firm footing, led by gains in Japan, Hong Kong, and South Korea, while GIFT Nifty indicates a positive opening for Indian equities.”

However, Palviya mentioned that investors will continue to monitor crude oil prices, which have moved higher amid uncertainty surrounding US-Iran ceasefire negotiations.

While elevated crude remains a near-term concern, the broader market undertone remains constructive as long as key support zones hold.

Market analysts highlighted that the domestic indices face key technical thresholds that will determine the sustainability of the opening momentum.

Shrikant Chouhan, Head Equity Research, Kotak Securities noted that as long as Nifty trades below the 50-day SMA of 23,700 and for Sensex 75,300, the weak sentiment is likely to continue.

"On the downside, the market could slip to 23,300-23,200/74,100-73,800. Further downward movement may also continue, potentially dragging the index to 23,050-23,000/73,300-73100. On the upside, above the 50-day SMA of 23,700 and for Sensex 75,300, a bounce back could extend till 23,800/75,900. If it crosses 23,800/75,900, the index could move towards 24,000-24,100/76,500-76,800," Chouhan said.

"Given the current market volatility, level-based trading would be the ideal strategy for traders,” he added.

Manav Modi, Commodities Analyst Motilal Oswal Financial Services Ltd said, "Gold prices traded steady as investors balanced ongoing uncertainty surrounding US-Iran ceasefire negotiations against rising inflation concerns and expectations of tighter monetary policy."

At the time of filing, Brent crude traded at $93.08 per barrel, up 2.15 per cent, and crude oil rose 2.57 per cent to $89.61 per barrel. Simultaneously, gold prices fell 0.65 per cent to $4,511.67 per ounce.

(With inputs from ANI)