Sensex, Nifty Rally as Global Trade Relief Boosts Investor Sentiment

By Binnypriya Singh , 24 February 2026
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India’s benchmark equity indices ended higher on Monday, supported by strong gains in public sector banks, automobile stocks, and financial counters after a key U.S. judicial ruling eased global trade concerns. The BSE Sensex climbed 479.95 points to close at 83,294.66, while the NSE Nifty advanced 141.75 points to settle at 25,713. Intraday momentum pushed both indices to fresh session highs before mild profit-booking capped gains. Improved global risk appetite, coupled with renewed foreign investor interest, strengthened domestic sentiment. Market participants interpreted the U.S. Supreme Court’s decision striking down sweeping tariffs as a positive signal for global trade stability.

Benchmarks Extend Gains on Positive Global Cues

Indian equities closed firmly in positive territory, with the BSE Sensex rising 479.95 points, or 0.58 percent, to settle at 83,294.66. During the trading session, the 30-share benchmark surged 671.44 points, or 0.81 percent, reaching an intraday high of 83,486.15.

Similarly, the Nifty 50 advanced 141.75 points, or 0.55 percent, to close at 25,713. The index touched a session peak of 25,771.45 after climbing 200.2 points, or 0.78 percent, in early trade.

The rally was broad-based, with strong participation from public sector banks, automobile manufacturers, and financial services companies.

U.S. Court Ruling Eases Trade Concerns

Investor sentiment improved following a significant ruling by the Supreme Court of the United States, which struck down sweeping tariffs imposed during the administration of Donald Trump.

Market analysts said the decision alleviated concerns about prolonged trade friction and potential supply chain disruptions. Reduced uncertainty surrounding global trade policy encouraged investors to increase exposure to risk assets, particularly in emerging markets such as India.

Global cues often play a decisive role in domestic market direction, especially in an environment where foreign institutional flows remain sensitive to geopolitical and trade developments.

Sectoral Performance Drives Momentum

Public sector banks led the rally, reflecting renewed optimism around credit growth and asset quality stability. Financial stocks also gained on expectations of sustained economic expansion and resilient corporate earnings.

Automobile counters advanced amid improving demand indicators and stable input costs. Analysts noted that lower trade tensions could benefit export-oriented sectors by reducing potential cost pressures.

The market’s intraday highs indicated strong buying interest; however, mild profit-booking in the latter half of the session trimmed gains slightly before closing.

Broader Market Context

Indian equity markets have demonstrated resilience in recent months despite global macroeconomic volatility, fluctuating commodity prices, and evolving monetary policy signals from major central banks.

The current rally reflects a combination of supportive domestic fundamentals — including stable inflation and improving corporate balance sheets — and favorable external triggers.

Market participants continue to monitor global developments, currency movements, and institutional fund flows to gauge the sustainability of the upward trend.

Outlook: Cautious Optimism Prevails

While the positive close signals strengthening investor confidence, analysts advise caution amid ongoing global uncertainties. Short-term volatility remains possible, particularly if international economic data diverges from expectations.

Nevertheless, Monday’s gains underscore a key market principle: when external risks recede, capital often rotates quickly into fundamentally strong markets.

For now, the Sensex and Nifty appear supported by both domestic momentum and easing global trade tensions, positioning Indian equities for a cautiously optimistic near-term trajectory.

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