Mumbai, Nov 2: Indian equities rallied for a third consecutive session on Monday, with the Sensex climbing 1,233 points and the Nifty closing above 23,440, as falling crude oil prices amid hopes of progress in US-Iran talks eased concerns over energy costs and inflation. However, losses in mid-cap and small-cap stocks indicated that the gains in benchmark indices did not extend across the broader market.
The BSE Sensex advanced 1,233.25 points, or 1.66 per cent, to finish at 75,692.78. The NSE Nifty gained 387.70 points to settle at 23,440.80.
Expectations of progress in negotiations between the United States and Iran weighed on crude oil prices, improving sentiment in domestic equity markets. Lower oil prices also supported the rupee, which traded around 94.90 against the US dollar, gaining approximately 0.12 per cent.
The decline in crude prices was reflected in international benchmarks. West Texas Intermediate (WTI) fell nearly 3 per cent to around $99.70, moving below the $100 mark, while Brent crude traded below $109.
Reliance Industries, a heavyweight constituent of the benchmark indices, contributed to the market’s advance. Coal India, Tata Steel and JSW Steel recorded the strongest gains among Nifty stocks, while buying activity remained particularly strong in oil and gas and metal shares.
The Nifty Oil & Gas and Nifty Metal indices led sectoral gains. The Nifty IT and Nifty Media indices, however, ended lower.
The broader market moved in the opposite direction to the benchmark indices. The Nifty MidCap 100 fell 1.19 per cent, while the Nifty SmallCap 100 declined 0.71 per cent, reflecting weakness among mid-sized and smaller companies despite the sharp rise in the Sensex and Nifty.
Market analysts attributed the positive sentiment partly to foreign investors turning buyers and a global rotation towards artificial intelligence-related stocks. They also pointed to the improvement in participation across equities, although the mid-cap and small-cap indices closed lower.
On the technical front, analysts said the Nifty had closed firmly above its 50-day simple moving average and was approaching resistance around 23,500. They identified the 23,250–23,350 range as immediate support. A sustained hold above that band could take the index towards 23,600, while a fall below 23,250 could weaken the breakout.
Analysts expect the rupee to trade in the 94.50–95.25 range.
