Stock market today: The Indian stock market witnessed strong gains in intraday trade on Friday, April 10, with the benchmark indices rising more than 1% each.
The Sensex jumped over 850 points, or over 1%, to an intraday high of 77,501, while the Nifty 50 rose by 250 points, or 1%, to the day’s high of 24,036. The mid and small-cap segments also added more than 1% during the session.
The overall market capitalisation of BSE-listed firms rose to nearly ₹450 lakh crore from ₹445 lakh crore in the previous session, making investors richer by about ₹5 lakh crore in a day.
Why is the stock market rising today?
Let’s take a look at key factors behind the market rally today:
1. Optimism ahead of US-Iran talks
The domestic market is witnessing healthy buying, driven by optimism that the US-Iran talks this weekend will lead to the end of the West Asian war, which has driven up crude oil prices and heightened global macroeconomic risks.
According to reports, US Vice President JD Vance has set off to Pakistan to lead talks with Iranian officials.
A ceasefire between the US and Iran was announced on Tuesday. However, tensions in the region persist as Iranian forces reportedly carried out drone attacks in Kuwait and Israel attacked Hezbollah in Lebanon.
“The market will wait to see the outcome of the peace talks between the US and Iran scheduled for Saturday. The outcome of the peace talks will determine the trend in crude prices, which, in turn, will dictate market trends,” VK Vijayakumar, Chief Investment Strategist, Geojit Investments Limited, noted.
2. Positive global cues
Japanese and South Korean stock market benchmarks jumped almost 2% during the session following overnight gains in the S&P 500 and the Nasdaq after US President Donald Trump softened his tone on Iran and Israel agreed to hold talks with Lebanon next week, bolstering hopes for de-escalation of tensions in the region.
3. Healthy buying in banking, financial stocks
Healthy buying in banking and financial heavyweights underpinned the benchmarks. The Nifty Bank and Financial Services indices jumped 2% during the session on value buying ahead of the start of their Q4 earnings.
4. Technical factor
Analysts at ICICI Securities expect the Nifty 50 to trade with a positive bias on Friday, suggesting buying the dips.
“On the downside, 23,500 is expected to act as immediate support while 24,000 is expected to act as immediate resistance. A move above 24,000 would trigger a fresh leg of short covering, taking Nifty towards 24,300,” said ICICI Securities.
“On the options front, massive call addition has been observed across strikes, with the highest concentration at 24,000. At the same time, unwinding was observed at the ATM and ITM strikes. Meanwhile, 23,500 remains the key support level, as it holds the highest put concentration,” said the brokerage firm.
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Disclaimer: This story is for educational purposes only. The views and recommendations expressed are those of individual analysts or broking firms, not Mint. We advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and circumstances may vary.
