Sensex Gains 400 Points, Nifty Tops 24,300: Why Stock Market Is Rising?

India’s equity market benchmark indices made gains on April 17 with the Sensex up by about 400 points and Nifty crossing the level of 24,300 due to positive sentiment in international markets and foreign buying.

Invest in Indian Markets and Unlock Future Potential With 5paisa!

Open Account Now

Positive Sentiment Across All Indices

Most of the sectoral indices were trading on a positive note, while even the broader indices were firm. The midcap index was up by close to 1% as was that for small cap companies.

But IT stocks lagged behind other indices. Shares of Wipro declined around 2.5% after the company reported quarterly results and indicated softer demand from U.S. banking clients.

Why Is the Stock Market Rising?

The rise in markets was supported by easing geopolitical tensions in West Asia. Reports of a temporary ceasefire between Israel and Lebanon, along with renewed efforts for U.S.–Iran negotiations, improved investor sentiment.

In addition, initiatives by France and the UK to reopen the Strait of Hormuz contributed to stability in global energy supply expectations.

Crude Oil Prices Remain Below $100

Crude oil was trading under the $100 level, an important factor for India, a leading oil-importing country. This will also keep the inflation rate under control and cut down the cost of imports.

Positive Global Market Trends Help Rally

Global trends in the stock market were also supportive. U.S. equity indices, including the S&P 500 and Nasdaq Composite, ended at record highs in the previous session, according to publicly available market data.

These gains provided positive cues for Indian equities during Friday’s session.

Foreign Investors Turn Buyers

Foreign institutional investors (FIIs) were net buyers in the Indian equity market, purchasing shares worth ₹382 crore, according to exchange data.

The inflows also supported the Indian rupee, which strengthened against the U.S. dollar during the session.

Market Movement Continues To Reflect Global Trends

A joint effort between reduction in geopolitical tension, stable oil prices, positive market conditions around the world, and foreign investments resulted in the rise of Indian stocks.

The stock market performance on April 17 was marked by growing confidence among the global market and consistent sectoral participation.