| The domestic equity benchmarks traded with substantial gains in afternoon trade, rebounding after two consecutive sessions of losses. This recovery came despite persistent concerns over escalating geopolitical tensions between Israel and Iran, which continued to weigh on global market sentiment.
The Nifty traded above the 24,900 level. All the sectorial indices on NSE were in the green with IT , Metal and private bank shares gaining the most
At 12:30 IST, the barometer index, the S&P BSE Sensex gained 690.89 points or 0.85% to 81,809.49. The Nifty 50 index jumped 221.20 points or 0.91% to 24,945.20.
In the broader market, the S&P BSE Mid-Cap index rose 0.54% and the S&P BSE Small-Cap index dropped 0.18%.
The market breadth was negative. On the BSE, 1,639 shares rose and 2,321 shares fell. A total of 192 shares were unchanged.
Gainers & Losers:
Tech Mahindra (up 2.60%), SBI Life Insurance Company (up 2.41%), HDFC Life Insurance Company (up 2.28%), UltraTech Cement (up 1.87%) and Bharat Electronics (up 1.86%) were the major Nifty50 gainers.
Tata Motors (down 3.76%), Dr Reddy's Laboratories (down 0.98%), Sun Pharmaceutical Industries (down 0.47%), Adani Ports and Special Economic Zone (down 0.44%) and Jio Financial Services (down 0.26%) were the major Nifty50 Losers.
Sun Pharmaceutical Industries shed 0.47%. The pharma major announced the appointment of Kirti Ganorkar as the managing director (MD) of the company, effective 1 September 2025, for a term of five years.
Meanwhile, the company confirmed that the USFDA conducted a Good Manufacturing Practices (GMP) inspection of its Halol facility in Gujarat, India, from 2 June to 13 June 2025. Upon the conclusion of the inspection, the USFDA issued a Form-483 with 8 observations.
Economy:
Inflation measured by the Wholesale Price Index (WPI) fell to a 14-month low of 0.39% in May from 0.85% in April, data released by the government on Monday showed. This is the third consecutive month of decline in WPI inflation.
Positive rate of inflation in May 2025 is primarily due to increase in prices of manufacture of food products, electricity, other manufacturing, chemicals and chemical products, manufacture of other transport equipment and non-food articles, etc.
Stocks in Spotlight:
Tata Consultancy Services (TCS) rose 1.54% after the company announced a long-term strategic partnership with Salling Group to drive sustainability, technological innovation, and improve organizational efficiency.
Spicejet shed 0.09%. The company’s standalone net profit surged 173% to Rs 324.87 crore in Q4 FY25 as against Rs 119 crore posted in Q4 FY24. However, revenue from operations fell 13.4% year on year to Rs 1,360.87 crore in the fourth quarter of FY25.
Lupin added 0.35%. The compnay announced that it has signed a license and supply agreement with Sino Universal Pharmaceuticals (SUP) for the commercialization of Tiotropium Dry Powder Inhaler (DPI) capsules in China for the treatment of chronic obstructive pulmonary disease.
HBL Engineering gained 1.86% after the company announced that it had secured a contract worth Rs 132.95 crore from South Central Railway for the deployment of the indigenously developed Kavach safety system.
United Drilling Tools (UDTL) advanced 1.86% after the company announced that it has secured a significant order from Oil and Natural Gas Corporation for the supply of large outer diameter (OD) casing pipes with connector totaling to Rs 107.55 crore.
Global Markets:
European markets advanced on Monday, rebounding—at least initially—from Friday’s losses, which were triggered by escalating tensions as Israel and Iran launched airstrikes against each other, raising fears of a prolonged and deadly conflict.
Most Asian markets also traded higher, as investors kept a cautious eye on the rising geopolitical tensions while also digesting a fresh batch of Chinese economic data.
Oil prices surged after Israel and Iran exchanged strikes over the weekend, stoking fears of a broader conflict in the region. Gold followed suit, climbing higher as investors rushed to the comfort of safe-haven assets.
Back in Asia, the spotlight was on China. The country released a mix of economic indicators that painted a somewhat uneven picture. Retail sales in May shot up 6.4% from a year earlier, signaling a boost in consumer spending. But industrial output slowed to 5.8% year-on-year, down from 6.1% in April.
Meanwhile, fixed-asset investment rose 3.7% in the January-May period, slightly weaker than the 4% growth seen in the first four months. There was a silver lining, though: the urban unemployment rate dipped to 5.0% in May, the lowest since November 2023.
Over on Wall Street, all three major US indexes sank on Friday, spooked by the Middle East flare-up and surging energy prices. The Dow tumbled 1.79%, the S&P 500 fell 1.13%, and the Nasdaq slid 1.30%.
Focus was now squarely on a Federal Reserve meeting this week. The Fed is set to kick off a two-day meeting from Tuesday, and is widely expected to keep interest rates unchanged, around 4.5%, at the end of the meeting on Wednesday.
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