Indian stock markets rebounded sharply on Thursday, with the Sensex surging over 800 points and the Nifty climbing near the 23,700 mark amid value buying, easing volatility, and supportive global cues.
At around midday, the Sensex was trading near 75,417, up more than 1%, while the Nifty advanced to 23,675. The recovery follows nearly four consecutive sessions of heavy selling pressure triggered by rising crude oil prices, foreign investor outflows, and concerns surrounding the ongoing US–Iran conflict.
Why Is the Market Rising Today?
The primary trigger behind the rebound was value buying in beaten-down stocks after the recent correction. Analysts said investors selectively accumulated large-cap stocks that had fallen sharply over the past week, helping benchmark indices recover from oversold conditions.
However, market experts cautioned that the rally reflects short-term stabilization rather than a complete shift in overall sentiment.
India VIX Falls, Market Fear Eases
Another key factor supporting equities was the decline in India VIX, often called the market’s fear gauge. The volatility index fell nearly 4% to around 18.66, indicating easing nervousness among traders and improving short-term risk appetite.
Lower volatility generally supports equity markets by reducing uncertainty around sharp price swings.
Global Markets Support Indian Equities
Global cues also remained positive.
Asian markets traded higher on Thursday, while Wall Street technology stocks pushed US indices toward fresh record levels overnight. Investor sentiment improved further amid optimism surrounding ongoing US–China discussions and hopes that diplomatic efforts could help stabilize tensions linked to the Iran conflict and energy supply disruptions.
Markets also reacted positively after reports suggested that China could use its economic ties with Tehran to support reopening movement through the Strait of Hormuz, a critical global oil shipping route.
Bharti Airtel, Oil India Among Top Gainers
Stock-specific earnings also supported the broader recovery.
Bharti Airtel gained strongly after reporting improved quarterly profit driven by tariff hikes and steady growth in its Africa operations. Oil India also moved higher following better-than-expected earnings performance.
The broader market remained firm as well, with midcap and smallcap stocks participating in the recovery.
Crude Oil Prices Still a Key Risk
Despite Thursday’s rebound, underlying risks remain intact.
Crude oil prices continue to stay elevated, geopolitical tensions in West Asia remain unresolved, and foreign institutional investor (FII) flows are still weak. Analysts believe markets may remain highly sensitive to global developments, particularly movements in oil prices and updates surrounding the Iran conflict.
Technical Outlook for Nifty
Technical analysts said the Nifty’s ability to sustain above the 23,680 level will be important for confirming near-term strength. A move below the 23,300 zone, however, could revive downside pressure in the broader market.
For now, markets are showing signs of recovery.
Kaashika is a social media strategist and financial content creator at Lakshmishree. She specialises in simplifying complex IPO and stock market concepts into clear, easy-to-understand content. Having created over 500+ pieces of financial content across reels, blogs, website posts and digital creatives, Kaashika helps audiences connect with the world of finance in a more accessible and engaging way.
