Benchmark Indian indices opened higher on Thursday, lifted by optimism over a potential US-India trade deal and encouraging Q2 earnings.
As of 9:21 am, the S&P BSE Sensex rose 350.94 points to 82,956.37, while the NSE Nifty50 added 83.45 points to 25,407. Dr. VK Vijayakumar, Chief Investment Strategist at Geojit Investments, said recent comments from the US point to easing trade tensions and a possible US-India trade agreement in the coming weeks. He noted that China’s strict measures on rare earth magnets have pressured the US, making it keen to strike a deal with India, with concessions expected from both sides.
Sector and stock movers
Axis Bank led the gains, rising 2.87%, followed by Adani Ports (+1.46%), Tata Motors (+1.05%), Eicher Motors (+0.97%), and Bharat Electronics (+0.86%).
On the downside, Infosys slipped 0.34%, Tata Steel dropped 0.32%, Sun Pharma lost 0.29%, TCS fell 0.27%, and Hindustan Unilever was marginally down 0.03%.
Vijayakumar highlighted that despite strong macroeconomic fundamentals and an upward revision in FY26 GDP growth projections, India’s exports and employment in labor-intensive sectors like textiles, gems and jewellery, and leather have been under pressure. “In this context, a US-India trade deal would provide a significant boost to market sentiment,” he said.
He also noted that low CPI inflation of 1.54% in September and the possibility of FY26 annual inflation declining to 2.6% could pave the way for further rate cuts by the Monetary Policy Committee. This would particularly benefit rate-sensitive sectors like automobiles, which are expected to see sustained high demand over an extended period.
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