Stock Market Today: Bulls return to Dalal Street; Sensex surges above 74,700, Nifty climbs past 23,400

Indian stock markets opened sharply higher on Friday, June 12, tracking positive global cues and improving investor sentiment after hopes of peace in West Asia boosted risk appetite.

The benchmark BSE Sensex opened at 74,709.27, up 876.72 points, or 1.19 per cent, from its previous close of 73,832.55. The index touched its opening level in early trade.

The NSE Nifty 50 also started the session on a strong note. The index opened at 23,412.55 and was trading at 23,418.45 at 9:15 am, up 256.85 points, or 1.11 per cent, from its previous close.

Hopes of Iran deal support global sentiment

Investor confidence improved after US President Donald Trump said Washington had reached a "great settlement" with Iran and that only the finalisation of the document remained.

Trump said the agreement would likely be signed in the coming days and added that the Strait of Hormuz would reopen once the deal is completed. The comments helped ease concerns over disruptions to global energy supplies and international trade routes.

The Strait of Hormuz is one of the world's most important oil shipping routes. Any signs of stability in the region are generally viewed positively by financial markets because they reduce concerns about supply disruptions and rising energy costs.

The improvement in global sentiment was reflected across Asian markets and supported buying in Indian equities at the opening bell.

L&T, Shriram Finance and IndiGo lead gains

Buying was visible across sectors, with infrastructure, financial and aviation stocks among the biggest beneficiaries.

In the Nifty 50 index, Larsen & Toubro, Shriram Finance and InterGlobe Aviation emerged as the top gainers in early trade.

From the Sensex pack, Larsen & Toubro led the rally, climbing more than 3.5 per cent. The stock was followed by InterGlobe Aviation, Bajaj Finance, Maruti Suzuki India and Trent.

The gains in heavyweight stocks helped lift benchmark indices and provided momentum to the broader market.

Broader markets continue to outperform

The rally was not limited to large-cap stocks. Mid-cap and small-cap shares also witnessed strong buying interest.

The Nifty Midcap 100 index rose 1.57 per cent in opening trade, while the Nifty Smallcap 100 index gained 1.64 per cent. Overall, the Nifty MidCap and Nifty SmallCap indices were trading around 1.4 per cent and 1.6 per cent higher, respectively.

Realty and auto sectors lead the market

Sectoral indices traded firmly in the green, with real estate and automobile stocks leading gains.

The Nifty Realty and Nifty Auto indices advanced more than 2 per cent each in early trade. The Nifty Media index also outperformed the broader market.

On the other hand, the Nifty IT, Nifty Healthcare and Nifty Pharma indices underperformed compared with other sectors, although they remained in positive territory.

Global markets remain supportive

Global market trends also remained favourable for equities. US markets recorded their biggest single-day gain since April 8, helping improve sentiment across regions.

Asian markets traded sharply higher, with Japan's Nikkei and South Korea's Kospi posting strong gains in early trade.

In the currency market, the rupee weakened by 50 paise to close at Rs 95.76 against the US dollar, while the dollar index slipped below the 100 mark.

Commodity markets remained active. Gold prices surged about $200 in international markets, while silver gained nearly 5 per cent. In the domestic market, gold rose around Rs 900 and silver advanced by more than Rs 4,000. Base metals traded on a mixed note, with copper remaining subdued while aluminium prices stabilised.