CHENNAI: The Indian markets kicked off Friday (June 27) positively, riding a wave of global optimism and easing trade tension narratives, with breadth extending beyond core indices, though select sectors continue to lag.
BSE Sensex jumped 219 points (+0.26%) to around 83,975 in early trading. This surge was spurred by hopes that the US may extend the July 9 deadline for imposing reciprocal tariffs – fueled by news from White House Press Secretary Karoline Leavitt suggesting President Trump could hold off to negotiate broader trade deals. NSE Nifty 50 climbed 53 points (+0.21%), trading near 25,602.
Key drivers behind the move were global tailwinds, rise of Gift Nifty futures and the boost in Asian markets movement.
US stock markets closed higher overnight (S&P 500 +0.8%, Nasdaq +0.97%, Dow +0.94%), bolstering Asian markets, including India.
Gift Nifty futures were up ~122 points pre-open, signaling a bullish start.
The prospect of tariff negotiation extension eased market anxiety, mirroring a similar upbeat sentiment when US tariffs on EU imports were postponed.
Thursday closed sharply higher with Sensex up about 1,000 pts to 83,755; Nifty rising 304 pts to 25,549 – lifting sentiment into Friday’s open.
Sector & Stock Performance
Top gainers in the open trade included L&T, Tata Steel, NTPC, SBI, HCL Tech, Power Grid, Tata Motors, Reliance Industries, and M&M, while
the losers were HDFC Bank, Bajaj Auto & Finance (the “Bajaj twins”), Kotak Bank, Titan, and Eterna Realty.
These moves reflect rotation into cyclical and PSU sectors (Metal, Oil & Gas, PSU Banks) while Private Banks and Realty stocks remained subdued.
Broad Market Indicators
Both the Nifty MidCap and SmallCap indices rose about 0.4%, signaling broad market breadth.
Among sector indices, Nifty Metal & PSU Bank advanced 1% each, Nifty Oil & Gas gained 0.7%, while Private Bank and Realty indices lagged slightly.
What It Means for Investors
A relaxed US tariff timelines and stronger Wall Street performance suggesting low-risk appetite.
Gains in metal, PSUs, and energy reflect market confidence in domestic economic recovery and global industrial demand. However, private banks and realty remain cautious—likely consolidating post recent rallies.
Mid and small-cap gains signal strength beyond headline stocks, and a busy franchise of mainline and SME IPOs indicates robust appetite for new listings.