Nifty Surges to Five-Month High as Crude Oil Prices Plummet

Nifty hit its highest level in five months on Monday as crude oil prices plummeted by over 7% after the US called off plans to strike Iran and agreed to fresh talks. The Sensex lagged behind, however, due to a new closing price mechanism introduced by exchanges.

The Nifty rose 1.6% to close at 24,774.30, while the BSE Sensex increased by 0.7% to end at 78,639.03. The Indian rupee also gained strength, reaching a one-month high against the US dollar due to cheaper oil and steady foreign inflows.

The Reserve Bank of India (RBI) is expected to keep interest rates unchanged in its upcoming monetary policy meeting, with economists surveyed by CNBC-TV18 unanimous in expecting a status quo on the repo rate.