Equity benchmarks rallied sharply on Friday as easing geopolitical tensions in West Asia, optimism surrounding a potential US-Iran peace deal, and a significant decline in crude oil prices boosted investor sentiment.

The BSE Sensex ended 1,695.40 points or 2.30 per cent higher at 75,527.95, while the Nifty 50 climbed 461.30 points or 1.99 per cent to close at 23,622.90.

Over the week, Sensex rose 1.7 per cent, and Nifty 50 was up 1 per cent.

Bank Nifty outperformed the broader market with a gain of nearly 3 per cent, ending at 56,814.80. The index rose 4.2 per cent this week.

The rupee strengthened during the session, supported by lower crude prices and improved global sentiment. Precious metals also moved higher.

According to Hariprasad K, SEBI-registered Research Analyst and Founder of Livelong Wealth, market sentiment was further supported by softer-than-expected US inflation data, which revived expectations of a more supportive global interest rate environment.

Banking, financials and realty lead gains

Broader markets outperformed, with the Midcap 100 and Smallcap 100 indices advancing 2.4 per cent and 2.8 per cent, respectively.

On the sectoral front, banking, financial and realty have witnessed strong buying due to improving liquidity management measures and macro stability.

Banking stocks led the gainers following RBI’s latest liquidity management measures aimed at stabilising foreign currency inflows and supporting institutions accessing overseas funds. Kotak Mahindra Bank, ICICI Bank, and HDFC Bank were among ⁠the top weekly gainers

IT extends losing streak

Nifty IT remained the only exception to the broader market rally and declined for the eighth consecutive session.

Continued concerns around global technology spending, AI disruption and uncertainty regarding US demand kept investors cautious towards export-oriented technology stocks.

Top Nifty 50 movers today: Shriram Finance, Bajaj Finance top gainers

Among the Nifty 50 constituents, Shriram Finance, Bajaj Finance, L&T, IndiGo and TMPV were the top gainers, while Nestle India, ONGC, Tech Mahindra and Tata Consumer Products were among the major laggards.

Market breadth remained firmly positive. Of the 4,422 stocks traded on the BSE, 3,222 advanced, 1,046 declined and 154 remained unchanged. A total of 102 stocks touched their 52-week highs, while 79 slipped to their 52-week lows. Additionally, eight stocks were locked in the upper circuit and six hit the lower circuit.

Midcap & smallcap movers

In the midcap segment, Ashok Leyland, LTF, Motilal OFS and HPCL surged 7-10 per cent. Oil India, Premier Energies, Coforge, Persistent Systems and Lenskart declined up to 2 per cent.

Among smallcaps, IFCI, Netweb, Inox Wind and Cholamandalam Holdings rallied 9-20 per cent, while Gland Pharma fell 2 per cent.

On the BSE, IFCI, Authum Investments and MTAR Tech were among the top movers. Cemindia Projects, Nestle India, Oil India, ONGC and Inox India declined 2-4 per cent.

Market outlook

Pravesh Gour, Senior Technical Analyst at Swastika Investmart, said the signs of progress in negotiations between the US and Iran have reduced geopolitical risk, improved global risk appetite and encouraged investors to move back into equities. “The resulting decline in crude oil prices is especially beneficial for India, as it helps ease inflationary pressures and improves the country’s macroeconomic outlook,” he said.

Vinod Nair, Head of Research at Geojit Investments, said India has faced challenges from US tariffs and the energy-driven shock, although conditions on both fronts have improved.

“The upcoming US Fed meeting is drawing heightened attention as markets assess the balance between growth and persistent inflation pressures. Strong domestic liquidity continues to provide an important buffer against recurring global macro shocks, helping absorb foreign outflows and stabilize market sentiment,” he said.

According to Nair, any moderation in FII selling or greater clarity on the US Federal Reserve’s policy trajectory could act as a catalyst for domestic capital and trigger a broad-based breakout in equities.

Dr Ravi Singh, Chief Research Officer at Master Capital Services, said markets may remain volatile due to global developments and economic data releases, but the overall undertone remains positive.

“Markets may continue to remain volatile because of global developments and economic data, but the overall undertone still looks positive as long as crude prices stay under control and institutional buying continues,” he said.

On the domestic front, the key monitorables will be India’s Consumer Price Index inflation data today and Wholesale Price Index inflation data next week, according to Siddhartha Khemka - Head of Research, Wealth Management, Motilal Oswal Financial Services.

Asian markets ended higher on Friday, tracking overnight gains on Wall Street, supported by enthusiasm surrounding SpaceX’s IPO debut. European markets traded higher as well.

Overnight, US markets rebounded sharply, with the Dow Jones, S&P 500 and Nasdaq rising 1.9 per cent, 1.8 per cent and 2.5 per cent, respectively, amid easing geopolitical concerns and optimism around SpaceX’s market debut.

FIIs offloaded equities worth ₹1,987.09 crore on Thursday, according to exchange data.

In previous session, Sensex closed 150.63 points lower at 73,832.55, and Nifty 50 edged lower by 53.35 points to 23,161.60.

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Published on June 12, 2026