Sensex ends 544 points higher, Nifty above 24,500; IT stocks rally

Benchmark equity indices ended sharply higher on Monday as a steep fall in crude oil prices boosted investor sentiment, while a late surge in information technology stocks helped the markets extend gains and close near the day's highs.The BSE Sensex climbed 544.39 points, or 0.70%, to settle at 78,639.03, while the NSE Nifty50 jumped 390.70 points, or 1.60%, to end at 24,774.30. The Sensex touched an intraday high of 78,895.10, while the Nifty hit a fresh high of 24,774.30 before closing at the day's peak.The rally came as Brent crude prices tumbled nearly 5% to around $83.7 per barrel, while WTI crude slipped about 6% below the $80 mark after hopes of renewed diplomatic talks between the United States and Iran eased fears of prolonged supply disruptions in the Middle East. For India, which imports more than 85% of its crude oil requirements, lower oil prices are seen as a major positive as they reduce inflationary pressures, improve corporate profitability and ease the country's import bill.Reflecting the improving risk appetite, buying was broad-based across the market. The Nifty 100, Nifty 200 and Nifty 500 indices gained between 1.46% and 1.55%, while the Nifty Smallcap 100 and Nifty Midcap 100 rose 1.29% and 1.21%, respectively.Sectorally, Nifty IT emerged as the biggest winner, rallying 3.28% as heavyweight technology stocks staged a strong comeback in the second half of the session. FMCG stocks also witnessed healthy buying, with the Nifty FMCG index gaining 1.72%, followed by Metal (1.54%), Auto (1.48%), PSU Bank (1.43%), Financial Services (1.36%) and Private Bank (1.90%). Pharma was the only major sector to end in the red, falling 0.48% amid profit booking after its recent run-up.Among Sensex stocks, IndiGo topped the gainers with a 4.22% jump, followed by TCS (+3.57%), Infosys (+3.54%), Eternal (+2.53%) and ITC (+1.90%). Axis Bank, Bajaj Finserv, Larsen & Toubro and SBI also ended with solid gains. On the other hand, Sun Pharma fell nearly 2%, while Bharti Airtel, Maruti Suzuki and Mahindra & Mahindra were among the notable losers.Vinod Nair, Head of Research at Geojit Investments Limited, said the decline in crude oil prices, driven by expectations of renewed dialogue between the US and Iran, lifted market sentiment by easing concerns over inflation and the earnings outlook for companies.He added that a recovery in FII inflows and a strengthening rupee further supported investor confidence, although elevated US bond yields remain a key risk for sustained foreign investment into emerging markets. According to Nair, IT and FMCG led the gains during the session, while pharma stocks witnessed profit booking following recent gains and the latest Q1FY27 earnings announcements.He also said that the earnings season has so far progressed better than expected, with small-cap companies emerging as the strongest performers compared with large- and mid-cap peers.Investors, he said, will now closely track the RBI's upcoming monetary policy decision for cues on inflation, liquidity and the future interest rate trajectory, although the central bank is widely expected to keep rates unchanged.The rupee also remained supportive for market sentiment, while the sharp fall in crude helped reinforce expectations that inflationary pressures could soften if oil prices remain subdued. This, coupled with improving earnings and returning foreign investor interest, helped equities end the session firmly in positive territory despite lingering global uncertainties.(Disclaimer: The views, opinions, recommendations, and suggestions expressed by experts/brokerages in this article are their own and do not reflect the views of the India Today Group. It is advisable to consult a qualified broker or financial advisor before making any actual investment or trading choices.)- EndsPublished On: Aug 3, 2026 15:36 IST