Indian benchmark indices ended higher on Monday, September 21, as easing crude oil prices, fresh foreign fund buying and positive global cues gave investors some relief after weeks of market pressure.
The Sensex climbed 564.03 points, or 0.76%, to close at 74,858.99, while the Nifty 50 gained 67.90 points, or 0.29%, to settle at 23,414.30. The Nifty extended its winning run to four sessions and closed above the 23,400 mark for the first time since September 10.
The recovery came after both benchmarks had recorded six consecutive weekly losses, their longest such losing streak in six years. Monday’s rise reflected renewed buying in heavyweight stocks, particularly after crude oil prices eased from recent highs.
The Sensex moved sharply higher during the day, touching an intraday high of 74,987.40, a gain of more than 690 points from its previous close. The Nifty also briefly crossed 23,450 before giving up some of its gains towards the close.
UltraTech Cement was among the strongest performers on the Sensex, rising more than 4%. HCL Technologies, Eternal and Titan Company were also among the major gainers. HCL Tech and Eternal were among the top performers on the Nifty as well, while ITC, Sun Pharma and Reliance Industries also ended higher.
On the other side, Bharti Airtel was among the biggest laggards, followed by Adani Ports, Bajaj Finance, Power Grid Corporation and Adani Enterprises. Airtel fell around 3% on the Nifty, while Adani Ports declined about 2%.
The broader market did not move in line with the benchmark indices. The Nifty Midcap 100 slipped 0.29%, while the Nifty Smallcap 100 remained broadly flat. This showed that Monday’s recovery was driven more by buying in large companies than by a broad-based rally across the market.
One of the biggest supports for the market was the fall in crude oil prices. Brent crude dropped to around $101.4-$101.7 a barrel, easing concerns over the impact of expensive oil on India’s inflation, corporate costs and trade deficit. India imports a large share of its crude requirements, making oil prices an important factor for the domestic stock market.
The decline in oil prices came despite continuing tensions in West Asia. Investors were watching developments involving the US and Iran, while hopes of diplomatic progress at the United Nations meeting helped ease some concerns about further disruption to oil supplies.
Foreign institutional investors also provided some support. FIIs bought Indian equities worth ₹599.54 crore on Friday, reversing six consecutive sessions of selling. Domestic institutional investors were also net buyers, purchasing equities worth more than ₹1,000 crore, according to exchange data.
Global markets offered another positive signal. Several Asian markets ended higher, while European equities also traded firmly. US stock futures were in positive territory during Indian market hours as investors looked ahead to developments in US-China trade and artificial intelligence talks and a planned meeting between US President Donald Trump and Chinese President Xi Jinping.
Investors were also keeping an eye on the National Stock Exchange’s IPO, which was scheduled to close for subscription on Monday. The issue had already been fully subscribed before the final day, adding to the activity in India’s primary market.
The banking sector also supported the recovery. HDFC Bank and ICICI Bank gained during the session, while Reliance Industries added to the broader market’s strength. These large companies carry significant weight in the benchmark indices, so their movement can have a sizeable impact on the Sensex and Nifty.
The rupee and bond markets also remained on investors’ radar as global monetary policy, oil prices and geopolitical tensions continued to influence sentiment. Elevated crude prices remain a concern even after Monday’s decline, particularly because a prolonged rise in oil could increase inflationary pressure and affect corporate earnings.
Monday’s rebound therefore offered some breathing room to Dalal Street after a prolonged period of selling. But the market remained selective, with large-cap stocks attracting buying while parts of the broader market stayed under pressure.
Investors will now watch crude oil movements, foreign fund flows, developments in the US-Iran conflict, global interest rates and upcoming corporate developments for further direction. After four straight sessions of gains, the ability of the Nifty to hold above 23,400 will remain an important level for market participants in the coming sessions.