Mumbai: On Monday, the stock markets rose sharply after India and Pakistan agreed to stop all military actions. This news brought relief to investors who were worried about rising tensions. The ceasefire started at 5 PM on Saturday and covered land, air, and sea.
Sensex and Nifty Surge 3 per cent
The BSE Sensex jumped 2,376.18 points or 2.99 per cent to reach 81,830.65 in early trade. The NSE Nifty also rose 729.8 points or 3 per cent to 24,737.80. This was a big change from Friday, when both indexes had fallen over 1 per cent due to the conflict.
Operation Sindoor and Market Impact
India had launched ‘Operation Sindoor’ on May 7 to destroy terror camps in Pakistan and Pakistan-Occupied-Kashmir. This was in response to the terror attack in Pahalgam. The market had reacted negatively to the conflict, with investors selling shares on Friday. However, the quick move to a ceasefire helped markets bounce back.
Big Gains for Major Companies
Many big companies saw strong gains. These included Adani Ports, Axis Bank, NTPC, ICICI Bank, HDFC Bank, Infosys, HCL Tech, and Bajaj Finance. Only Sun Pharma and IndusInd Bank saw slight losses.
Investors Gain Big
Thanks to the market rise, investors’ total wealth increased by Rs 13.13 lakh crore, reaching Rs 4,29,54,415.37 crore (about USD 5.02 trillion). This sharp rise showed that confidence had returned quickly.
Global Markets Also Positive
Other Asian markets also saw gains. South Korea’s Kospi, Japan’s Nikkei 225, Shanghai’s SSE, and Hong Kong’s Hang Seng were all trading higher. US markets had closed mixed on Friday. Oil prices rose slightly, with Brent crude at USD 64.30 a barrel.
FIIs Resume Buying Trend
Foreign Institutional Investors (FIIs) had sold shares worth Rs 3,798.71 crore on Friday during the tension. But experts believe they will return to buying now that the situation has calmed.
