Markets Open Strong: Sensex Up 400, Nifty Above 25,800; SBI Surges 6%

Benchmark equity indices opened on a strong note on Monday as foreign institutional investors (FIIs) returned to buying, lifting early sentiment on Dalal Street.

The S&P BSE Sensex climbed 377.94 points to 83,958.34, while the NSE Nifty50 rose 119.10 points to 25,812.80 by 9:55 am. Dr VK Vijayakumar, Chief Investment Strategist at Geojit Investments Limited, said several near-term tailwinds could push markets higher.

“Clarity on the US-India trade deal means Indian businesses, especially exporters, are likely to benefit. More importantly, the uncertainty around the deal and its impact on the Indian economy—which had been an overhang on markets—has now been removed. The rebound in US markets and positive global cues point to a renewed risk-on phase,” he said.

A key support for the market has been the shift in FII behaviour, with overseas investors turning net buyers in the cash segment in three of the last four sessions. At the same time, the derivatives market remains heavily net short, a setup that could provide further upside through short covering.

Sectorally, IT stocks may continue to face pressure due to the so-called “Anthropic shock,” while banking shares are expected to see strength on signs of improving credit growth. A pickup in lending activity could translate into stronger GDP growth and healthier corporate earnings in FY27.