Sensex Surges 628 Points, Nifty Finally Breaks 7-Day Losing Streak

After days of relentless selling, Indian equity markets finally found their footing on Thursday, with the Sensex surging more than 628 points and the Nifty snapping its seven-session losing streak as improving global sentiment revived investor appetite for risk.

The BSE Sensex climbed 628.04 points, or 0.82 per cent, to close at 77,537.72, recovering after four consecutive sessions of losses. The index had risen as much as 701 points during the day. Meanwhile, the NSE Nifty gained 153.55 points, or 0.64 per cent, to settle at 24,231.85, bringing an end to its longest losing streak in nearly 11 months.

The turnaround was driven largely by a rally across global markets after easing bond yields improved investor confidence. A softer dollar, a firmer rupee and reduced pressure from global yields also made emerging markets more attractive, helping Indian equities stage a broad-based recovery.

Buying was particularly strong in IT and financial stocks, with Eternal, Kotak Mahindra Bank, ITC, Bajaj Finance, Axis Bank and UltraTech Cement emerging among the major gainers. Tata Steel, InterGlobe Aviation, HCL Tech and Titan, however, ended among the laggards.

Foreign investor activity also offered support. Foreign Institutional Investors bought equities worth ₹407.99 crore on Wednesday, according to exchange data, providing an additional boost to sentiment after the prolonged sell-off.

The positive mood extended across Asia, where South Korea's Kospi posted a sharp rebound, while Japan's Nikkei 225, China's Shanghai Composite and Hong Kong's Hang Seng also closed higher. US markets had ended in positive territory overnight.

However, the rally comes with a note of caution. Brent crude rose 2.67 per cent to USD 93.91 a barrel, as tensions surrounding the US and Iran continued to raise concerns over inflation and the potential impact of higher energy costs on corporate earnings.

Thursday's recovery has brought much-needed relief to investors, but the market's next direction could depend on whether global yield pressures continue to ease and whether rising crude prices begin to weigh on the renewed optimism.