Indian benchmark indexes began higher on Tuesday on the back of a robust overnight surge on Wall Street and optimistic signs from Asian markets. The Sensex was up 224 points at 76,953 and the Nifty 50 was up by 60 points at 24,006 at 9:15 AM.
GIFT Nifty also opened positive for domestic markets, trading 19 points higher at 23,991 at of 7:45AM. In pre-open trade, the Sensex was up 250.78 points at 76,979.15 while the Nifty rose 108.35 points to 24,054.60.
US and Iran decided to stop hostilities and return to negotiations after weekend military skirmishes, alleviating some West Asia tensions, boosting sentiment. Asian markets moved broadly higher with Japan’s Nikkei 225 up 1.41% and South Korea’s Kospi up 1.17%.
Wall Street finished considerably higher overnight with the Dow Jones Industrial Average, Nasdaq Composite and S&P 500 all seeing strong gains. Brent oil dropped to $72.53 a barrel, while spot gold was also weaker, suggesting a negative tone in commodities.
Traders will continue to focus on developments in West Asia, global stock movements and commodities prices as they remain the major drivers of market direction in the day.