Stock market cheers India-New Zealand FTA as Sensex ends 639 points higher
Indian equity markets closed higher with the Sensex rising over 600 points and the Nifty crossing 24,000, supported by the India-New Zealand FTA and easing global tensions. Broader markets outperformed, while pharma, IT and realty stocks led gains
Mumbai: Indian equity benchmarks closed near the day’s high on improved investor sentiment after India-New Zealand FTA finalised in the national capital.
The agreement which sealed in the presence of Commerce Minister Piyush Goyal and his New Zealand counterpart Todd McClay removes tariffs on 100 per cent of India’s exports to New Zealand, and either sharply reduces or removes tariffs on 95 per cent of the country’s imports from New Zealand.
At the closing bell, the Nifty ended 0.81 per cent or 194.75 points higher at 24,092.70 and the Sensex settled 0.83 per cent or 639.42 points higher at 77,303.63.
Commenting on Nifty technical outlook, experts said that the 24,300–24,400 zone continues to remain a crucial resistance band.
“On the downside, 23,900 now acts as an immediate support zone, while a break below this range could lead to further weakness toward 23,800 crucial support level,” an analyst stated.
Adani Ports, Sun Pharma, NTPC, Tech Mahindra, Tata Steel were among the top gainers on Sensex. On the other side, Axis Bank, BEL, Trent and ICICI Bank were among top laggards on the 30-share pack.
Broader markets outperformed the benchmark indices during the session. The Nifty MidCap rose 1.55 per cent, while the Nifty SmallCap gained 1.96 per cent.
On the sectoral front, gains were led by the Nifty Pharma, Nifty Realty and Nifty IT indices. In contrast, the Nifty Private Bank and the Nifty Financial Services lagged behind the broader market.
Investor sentiments also improved as reports suggested a possible de-escalation in tensions involving Iran and the United States.
Experts said that the positive mood followed news that Iran has approached the US with a proposal to reopen the strategically crucial Strait of Hormuz.
Meanwhile, Rupee traded marginally stronger near 94.16 up by 0.07 per cent.
“In the near term, rupee is expected to trade in a range of 93.75–94.50, with volatility likely to remain elevated,” a market experts stated.
