Sensex Jumps 400 Points Amid Cooling Oil Prices

The Indian stock market experienced a positive day on Monday, with the Sensex rising by over 0.6% and the Nifty gaining 0.2%. The benchmark indices closed near the divergence seen in previous sessions as oil prices dropped.

Oil prices cooled down despite tensions in the Middle East, which had been causing concerns for global markets. Brent crude declined to below $102 per barrel due to increasing oil flow through the Strait of Hormuz.

The broader market, however, slipped into the red, with Nifty Midcap 100 and Nifty Smallcap 100 indices falling up to 0.4%. UltraTech Cement, Sun Pharma, HCL Tech, Asian Paints, and IndiGo shares led gains on Sensex, rising by 2-3%.

V K Vijayakumar, Chief Investment Strategist at Geojit Investments, noted that global geopolitical risks are increasing due to conflicts in the Middle East and Russia-Ukraine war. However, equity markets are holding their ground, taking cues from robust growth in developed economies and expectations of good corporate earnings.