Mumbai (Maharashtra) [India], February 3 (ANI): The home fairness markets opened with a historic rally on Tuesday, surging sharply in early commerce, supported by upbeat international cues following the announcement of a key India-US commerce deal.
Benchmark indices witnessed report good points on the opening bell, reflecting sturdy investor optimism throughout sectors.
The Nifty 50 index opened at 26,308.05, up by 1,219.65 factors or 4.86 per cent, whereas the BSE Sensex jumped 3,656.74 factors or 4.48 per cent to open at 85,323.20.
The markets opened on a robust constructive word, exploding in constructive territory amid improved international threat sentiment after the commerce deal announcement.
VK Vijayakumar, Chief Investment Strategist at Geojit Investments, stated, ‘The dramatic announcement of the long-awaited US-India commerce deal and the US determination to chop tariffs on India from 50 per cent to 18 per cent is a recreation changer for the Indian economic system and stock markets.’
He added, ‘The impression of the deal will probably be manifold: One, India’s development charge will rise to round 7.5 per cent in FY27 assisted by increased exports to the US. Two, company earnings already exhibiting indicators of revival in FY 27 can speed up to round 16 to 18 per cent. Three, rupee will strengthen sharply.’
Vijayakumar additional stated, ‘The mixture of US-India commerce deal, the EU-India commerce deal and the growth-oriented Budget will enhance the market sentiments and the animal spirits within the economic system.’
He famous that the stock market, anticipating and discounting these developments, will increase. ‘Technically, the market which is massively brief, will witness short-covering including gas to the rally. The rally will probably be widespread throughout market caps; however the massive caps that are pretty valued have the potential to outperform aided by FII inflows,’ he stated.
According to him, ‘The FII favourites in massive caps just like the banking leaders, non-banking financials and different bluechips in telecom, capital items and IT, will surge. Textile shares will probably be on particular focus. This goes to be the start of a increase within the Indian stock markets taking it to new information.’
In the broader market on the NSE, the Nifty 100 rose practically 4 per cent, the Nifty Smallcap index surged 4.6 per cent, whereas the Nifty Midcap index gained 4.05 per cent.
Among sectoral indices, Nifty Auto jumped 5 per cent, Nifty IT gained 5.85 per cent, Nifty FMCG rose 1.8 per cent, Nifty Metal surged 3.88 per cent, Nifty Pharma climbed 4.27 per cent, and Nifty Consumer Durables superior 4.25 per cent.
Vedanta shares gained 3.38 per cent to Rs 683, whereas Hindustan Zinc shares rose 2.8 per cent to Rs 627.
Ponmudi R, CEO of Enrich Money, stated, ‘The discount in reciprocal tariffs on Indian items to 18 per cent from 25 per cent has considerably lifted international threat sentiment, with GIFT Nifty indicating a pointy gap-up opening, practically 3 per cent increased in a single day.’
He added, ‘This constructive exterior set off helps markets look previous the current post-Budget volatility triggered by the Union Budget 2026-27, the place the surprising hike in STT on derivatives led to a pointy knee-jerk sell-off.’
The cheer within the Markets adopted US President Donald Trump’s announcement of a commerce cope with India, months after imposing 50 per cent tariffs on Indian items in August 2025. The settlement, unveiled on Trump’s social media platform Truth Social, options vital tariff reductions and contains claims that India would halt purchases of Russian oil. Trump had earlier levied a 50 per cent tariff on India, with 25 per cent linked to crude imports from Russia, as administration officers repeatedly alleged that India’s oil purchases helped finance Russia’s battle towards Ukraine.
Meanwhile, gold costs on MCX surged round 2 per cent on Tuesday to Rs 1,47,355 per 10 grams (24 kt), whereas silver costs jumped by Rs 14,175 or 6 per cent to Rs 2,50,436 per kg on the time of submitting this report.
On the fund circulate entrance, international institutional buyers (FIIs) have been web sellers to the tune of Rs 1,832.5 crore on Monday, whereas home institutional buyers (DIIs) have been web consumers price Rs 2,446.3 crore.
Asian markets additionally opened sturdy, with Japan’s Nikkei 225 surging over 3 per cent, South Korea’s KOSPI leaping 4 per cent, Taiwan’s weighted index gaining 1.46 per cent, and Singapore’s Straits Times rising 0.8 per cent. Hong Kong’s Hang Seng index, nonetheless, traded decrease by 0.13 per cent. (ANI)