Sensex jumps nearly 1,700 points on hopes of US-Iran peace deal
Mumbai, June 12
Indian equity benchmarks rallied sharply on Friday, with the Sensex soaring nearly 1,700 points and the Nifty reclaiming the 23,600 mark, as investor sentiment improved on hopes of a potential peace agreement between the United States and Iran.
The Sensex closed at 75,527.95, gaining 1,695.40 points, or 2.30 per cent, from its previous close of 73,832.55. The 30-share index opened at 74,709.27 and touched an intra-day high of 75,608.02 before settling near the day's peak.
The Nifty also ended strongly at 23,622.90, up 461.30 points, or 1.99 per cent. The index opened at 23,412.55 and climbed to an intra-day high of 23,645.35 during the session.
Commenting on Nifty technical outlook, experts said that a sustained move above 23,800 could further improve sentiment and pave the way toward the 24,000 psychological mark.
"On the downside, the 23,550-23,500 region is now expected to act as an important immediate support area, having transitioned from resistance to support following the breakout," an analyst stated.
The rally came after US President Donald Trump said that Washington had reached a "great settlement" with Iran and that only the finalisation of the document remained.
The comments fuelled optimism in global markets, with investors betting that easing geopolitical tensions could stabilise energy supplies and reduce uncertainty.
Among Nifty constituents, Shriram Finance, Bajaj Finance and Larsen & Toubro emerged as the top gainers.
The broader market also witnessed robust gains. The Nifty MidCap index ended 2.43 per cent higher, while the Nifty SmallCap index advanced 2.8 per cent.
Sectorally, real estate and financial stocks led the upmove. The Nifty Realty and Nifty Financial Services indices surged more than 3 per cent each, outperforming other sectoral gauges.
In contrast, the Nifty IT index lagged the broader market and emerged as the weakest-performing sector during the session.
— IANS
Reader Comments
Lovely to see markets cheering peace! As an investor, this gives me hope. But it’s ironic that a US-Iran deal impacts our markets more than our own budget announcements sometimes. Aur kuch din toh bank FD se better lag raha hai ab!
Markets are forward-looking, so this rally makes sense. But I'm cautious—how long will the peace deal hold? Iran and the US have a long history of tensions. Still, for short-term traders, this is a great time. Let's hope oil prices stay stable for India's sake.
Finally, some positive movement! I was worried about my mutual fund portfolio after that recent dip. Bajaj Finance and L&T have been my favorites for a while. But I'm skeptical about Nifty crosssing 24,000—we need stronger domestic demand and not just geopolitical optimism.
Well, the Nifty IT index lagging is surprising—usually tech stocks lead rallies. Maybe investors are more excited about real estate and finance due to domestic rate expectations. Ultimately, a peace deal benefits everyone, but I hope Indian policymakers use this window to push reforms. Otherwise, this rally might be short-lived. 😐
Great day for the markets! As an expat in India, I follow both global and local news closely. The US-Iran peace rumors are definitely a catalyst, but let's not forget that Indian fundamentals are also improving—corporate earnings and GST collections are up. Let's enjoy the rally while being smart about booking profits! 🚀
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