Sensex, Nifty rise 1%: GIFT Nifty, oil, gold cues

Early signals pointed to a higher open

Indian equities were expected to open higher on Thursday after positive global cues, with Asian markets gaining and Wall Street ending mostly higher overnight. The pre-market setup was supported by a rally in technology shares in the US, which helped push broader risk sentiment up. Traders also had the domestic backdrop of a mild rebound in the previous session. That rebound had snapped a four-day losing streak in Indian benchmarks. Despite the improvement, commentary suggested investors were still cautious due to geopolitical uncertainty and foreign selling. The session became a key test of whether the bounce could extend beyond a technical move.

What happened in Wednesday’s session

On Wednesday, the Sensex rose 49.74 points, or 0.07%, to close at 74,608.98. The Nifty 50 ended 33.05 points, or 0.14%, higher at 23,412.60. Ajit Mishra, SVP, Research at Religare Broking Ltd, attributed the rebound largely to oversold conditions and buying in select heavyweight stocks. He also noted that investor sentiment stayed cautious amid uncertainty linked to the US-Iran conflict and persistent foreign institutional outflows. Stock-specific moves driven by earnings updates continued to dominate parts of the market. In short, the market recovered, but the tone remained guarded.

GIFT Nifty signalled an upbeat start

GIFT Nifty was trading around the 23,540 level, indicating a premium of nearly 78 points over the previous close of Nifty futures. That premium pointed to a positive start for the domestic benchmarks. Such indications often reflect a combination of global risk appetite, overnight futures positioning, and immediate reactions to macro headlines. The signal aligned with the broader global set-up, where US equities were supported by technology-led gains and Asian markets were largely firm. Still, traders were also watching commodities closely, especially crude oil, given its sensitivity to the ongoing geopolitical backdrop.

Global markets: Wall Street tech strength and mixed Asia

Overnight in the US, markets ended mostly higher, with the S&P 500 and Nasdaq advancing on the back of artificial intelligence-linked technology shares. The Nasdaq Composite closed 314.14 points, or 1.20%, higher at 26,402.34. In Asia on Thursday morning, markets were mixed. Japan’s Nikkei 225 gained 0.27% and Hong Kong’s Hang Seng rose 0.84%. China’s CSI 300 fell 1.10%, bucking the trend. The mixed regional picture suggested investors were selectively positioning rather than taking uniform risk.

Commodities in focus: gold firmer, crude elevated

Gold prices rose as investors tracked the Trump-Xi meeting. Spot gold gained 0.3% to $1,699.87 per ounce, while US gold futures for June delivery were steady at $1,706.90. Spot silver fell 0.4% to $17.64 per ounce. Crude oil was also higher ahead of the Trump-Xi meeting, with traders focused on the US-Iran war. Brent crude futures rose 0.12% to $105.76 a barrel, and US WTI gained 0.12% to $101.14. For Indian markets, high oil prices are closely watched because of their implications for inflation and the import bill.

Thursday’s trade: a strong finish after a firm open

Indian benchmarks opened higher on Thursday. At the open, the Sensex was up about 400 points and the Nifty50 was up about 140 points. By the close, the rally had strengthened, with the Sensex settling 789.74 points higher, or 1.06%, at 75,398.72. The Nifty50 ended 277 points up, or 1.18%, at 23,689.6. The move marked a clear risk-on session for domestic equities compared with the modest gains seen a day earlier.

Key numbers to track

Market impact: what moved sentiment

The combination of a tech-led US rally and a positive GIFT Nifty premium set a constructive tone for the Indian open. The strong close suggested broader participation compared with the prior session’s modest bounce. At the same time, the macro risk backdrop stayed present, with crude holding above $105 for Brent and geopolitical uncertainty cited in market commentary. Gold’s rise alongside firmer crude reflected continued sensitivity to global political developments. For Indian investors, the interaction between oil prices, inflation expectations, and foreign flows remained a key variable in day-to-day sentiment.

Analysis: rebound versus caution

Wednesday’s rebound was described as being driven by oversold conditions and selective heavyweight buying, rather than a clear shift in risk appetite. Thursday’s stronger move showed that the market could build on that initial stabilization when global cues aligned. However, the caution highlighted around geopolitical uncertainty and persistent foreign institutional outflows remained relevant in framing risk. With commodities elevated and headlines closely tied to political meetings and conflict updates, traders were likely to keep a close watch on overnight signals such as GIFT Nifty and US market moves.

Conclusion

Indian benchmarks ended Thursday with strong gains after early indicators pointed to a positive start, supported by global equity cues and a firm GIFT Nifty premium. Investors continue to track crude oil, precious metals, and geopolitical developments for near-term direction.