Indian Equity Market Extends Recovery Despite Elevated Crude Prices

The Indian equity market opened higher for the second consecutive session on Friday, extending its recovery from recent losses. The Sensex started the day by jumping 163.35 points or 0.21% to 77,701.07, while the Nifty opened 52.20 points or 0.22% higher at 24,284.05.

The gains were led by realty, metal, and pharmaceutical stocks amid elevated crude oil prices. The Nifty Realty index was the top gainer in early trade, rising 0.7%, followed closely by Nifty Metal at 0.48% and Nifty Pharma at 0.32%. Other sectors such as MidSmall Healthcare and REITS & Realty also gained 0.32% and 0.28%, respectively.

However, analysts cautioned that the rally may struggle to sustain due to rising crude prices and higher US bond yields. Brent crude is approaching $94 per barrel, and renewed pressure from US yields could weigh on large-cap stocks and trigger profit booking.

The broader market is expected to retain momentum, supported by institutional buying and improving fundamentals. Analysts noted that NBFCs remain strong while digital platforms, pharma, and CDMO stocks continue to attract buying interest despite elevated valuations.