Bank stocks gain on softer bond yields

Banking stocks rallied on Monday led by public sector lenders as government bond yields dipped. The move improved sentiment across the sector.

The Bank Nifty and Nifty PSU Bank index posted significant gains and outperformed the broader Nifty. Public sector banks including Union Bank of India, Bank of Baroda, Punjab National Bank and Canara Bank led the advance.

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BSE trading floor during Sensex and Nifty rally on US-Iran ceasefire relief, with cheering traders amid rising indices and cautious expressions over fragile peace.
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Indian markets rally on US-Iran ceasefire relief but caution persists

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Indian equity benchmarks Sensex and Nifty posted their strongest single-day gains in years on Wednesday, driven by a US-Iran ceasefire that eased oil prices and inflation fears. The market capitalization of BSE-listed companies rose by ₹16.1 lakh crore. However, Asian stocks turned cautious as the ceasefire showed signs of fragility.

Indian stock markets rose more than 1 percent on Monday as the Nifty index crossed back above 24,000. The gains followed positive global signals including hopes for a US-Iran deal and lower oil prices.

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Indian stock markets staged a significant rebound on Wednesday, fueled by hopes for peace in West Asia and falling oil prices. The NSE Nifty and BSE Sensex climbed substantially during the day, though some gains moderated by the close. Sectoral indices ended higher across the board amid cautious investor sentiment.

Indian equity benchmarks Nifty 50 and Sensex crashed more than 3% on Thursday, their steepest single-day decline since June 2024, closing at 23,002.15 and 74,207.24 respectively. Escalating West Asia conflicts drove crude above $110 a barrel, stoking inflation fears, while HDFC Bank shares tumbled over 5% following chairman Atanu Chakraborty's resignation.

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Domestic institutional investors raised their holdings in several large-cap Indian companies during the March 2026 quarter. Buying focused on financial, technology, telecom and industrial names even as share prices fell sharply.

Indian markets faced a sharp downturn this week, with the Nifty index closing lower and approaching a key support level. Rising volatility and narrowing market breadth indicate caution for investors. Analysts recommend a defensive, stock-specific strategy to safeguard recent gains.

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Several brokerages have identified 10 largecap stocks in India with significant upside potential despite rising oil prices from the US-Iran war. Crude oil has surpassed $125 per barrel, fueling inflation fears and market uncertainty. Stocks like HDFC Bank and Bharti Airtel top the lists from firms including Jefferies and Axis Direct.

 

 

 

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