Sensex ends higher after rocky start, Gulf crisis keeps markets on edge

Indian equity markets staged a dramatic turnaround on Monday, shaking off a bruising three-day losing streak to close firmly in the green despite a deeply troubled global backdrop. The BSE (Bombay Stock Exchange) Sensex surged 939 points , or 1.26 per cent, to settle at 75,502.85 , while the NSE (National Stock Exchange) Nifty50 climbed 257.70 points to close at 23,408.80 , defying fears stoked by a raging West Asian conflict, soaring crude oil prices and persistent foreign selling.

The session was anything but straightforward. The Sensex shed nearly 180 points in early trade before bargain hunters moved in, snapping up beaten-down blue-chips. A sharp burst of short-covering in the final hour ahead of the weekly F&O (Futures & Options) expiry sealed the recovery, with the index swinging through a remarkable intraday range of 1,855 points . UltraTech Cement, HDFC Bank, State Bank of India, Bajaj Finance and ITC were among the standout gainers, while Bharat Electronics, Wipro, ONGC (Oil and Natural Gas Corporation) and Sun Pharma remained under pressure.

The rally unfolded even as Brent crude climbed to $106.18 a barrel , up over 50 per cent in the past month alone, and a fresh drone strike on Dubai International Airport temporarily grounded all flights at the world's busiest aviation hub. Iran has now launched over 1,800 missiles and drones at the UAE (United Arab Emirates) since the conflict began, with Gulf-wide attacks crossing 2,000. Saudi Arabia intercepted multiple drone waves through the day, while India confirmed it had evacuated over 550 nationals from Iran through Armenia.

Foreign Institutional Investors (FIIs) offloaded equities worth ₹10,717 crore on Friday, keeping sentiment fragile. Domestic Institutional Investors (DIIs) absorbed much of the blow, buying stocks worth ₹9,977 crore. Analysts cautioned that with crude elevated and geopolitical tensions showing no signs of easing, the week ahead would remain volatile and data-driven.