Bumper gain in the market due to ceasefire between India and Pakistan; Sensex climbed 2975 points, Nifty crossed 24900
Share Market: On Monday, the Sensex closed at 82,429.90 points with a gain of 2,975.43 points or 3.74 percent, while the Nifty closed at 24,924.70 points with a gain of 916.70 points or 3.82 percent. Let us know the market situation in detail.
The Indian stock market benchmark indices surged on Monday following news of a ceasefire between India and Pakistan. The upsurge was also aided by the easing of the US-China trade war. The two nations have agreed to mutually suspend their announced bilateral tariffs and counter tariffs on each other's goods for the first 90 days. In the meantime, China will charge American products with a 10 percent duty, and the US will charge Chinese products with around 30 percent tax.
The Sensex on Monday closed at 82,429.90, a gain of 2,975.43 points or 3.74 per cent, and the Nifty also finished up at 24,924.70, a gain of 916.70
"The ceasefire between India and Pakistan has paved the way for a sharp rebound in the market," said VK Vijayakumar, chief investment strategist at Geojit Investment Ltd. "Domestic macros such as high GDP growth and revival of earnings growth in FY26 and declining inflation and interest rates bode well for the resumption of market rebound," Vijayakumar said.
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He added that sustained buying by foreign institutional investors is also the main reason for today's rally. However, amid the surge in broader indices, companies operating in the pharma sector have been relatively shocked. Pharma stocks took cues from news that US President Donald Trump will sign an executive order later in the day today, aimed at reducing the cost of prescription drugs by 30-80 per cent.
The Nifty pharma index closed with a gain of 0.15 per cent, while other sectoral indices jumped 2-4 per cent. Pharma sector stocks in the Indian stock market showed strong resilience despite initial pressure due to an anticipated executive order by Trump aimed at cutting prices of prescription drugs in the US.
"President Trump's latest announcement to reduce drug prices in the US may put pressure on pharma stocks in the near term," Vijayakumar said. Vijayakumar said the US-China tariff deal would be a bit disappointing from the Indian perspective, as India was expecting a quick deal with the US before other countries.
US President Donald Trump had imposed reciprocal tariffs on dozens of countries with which the US has a trade deficit. Later, President Trump decided to pause tariffs for 90 days after several countries began negotiating with the US administration for a trade deal. In these 90 days, starting April 9, President Trump is imposing a 10 percent baseline tariff on all countries. For China, Trump had indicated that tariffs could rise to 245 percent. For the US, the Chinese had announced a 125 percent tariff.
