Nifty, Sensex Jump as India-US Trade Deal Boosts Sentiment

Mumbai, February 9:

Indian stock markets opened strong on Monday as investors welcomed fresh clarity on the India-US trade deal framework. Market experts said supportive domestic factors and positive global cues also boosted sentiment.

The Nifty 50 opened at 25,888.70, up 195 points (0.76%). The BSE Sensex opened at 84,177.51, rising 597.11 points (0.71%).

Experts Say Markets Prefer Clarity

Market expert Ajay Bagga said the removal of US punitive tariffs has created a positive environment for Indian equities.

“If you are not at the table, you are on the menu. India was facing punitive tariffs from the US since last year. These are now removed as the India-US trade deal framework gets implemented. This represents a big tailwind for Indian markets,” Bagga told ANI.

He said the market benefits from clarity and certainty, and the conclusion of Phase 1 of the India-US trade deal provides that.

Three Big Catalysts Supporting Indian Markets

Bagga also highlighted three key developments supporting the market:

Earnings downgrades have bottomed out and outlook is improving
The Union Budget supported infrastructure spending and fiscal stability
Progress on the US-India trade deal improved investor confidence

He added that foreign portfolio investor (FPI) flows will remain an important factor in the coming sessions.

Broader Market Opens Firm

Other indices on the NSE also opened in the green:

Nifty 100 rose 0.72%
Nifty Midcap 100 gained 0.66%
Nifty Smallcap 100 surged 0.85%

This indicated broad-based buying across large, mid, and small-cap stocks.

PSU Banks Lead Sectoral Gains

Sectoral indices also showed strong performance in early trade:

Nifty PSU Bank jumped over 2%
Nifty Metal surged 1.5%
Nifty IT gained 0.6%
Nifty Auto rose 0.56%
Nifty FMCG increased 0.3%

Gold and Silver Prices Rise Sharply

Precious metals extended their rally on Monday.

Gold surged 1.51% to Rs 1,57,693 per 10 grams (24K)
Silver jumped 5.35% to Rs 2,63,258 per kg

Analyst Sees Further Upside in Nifty

Sunil Gurjar, SEBI-registered analyst and Founder of Alphamojo Financial Services, said Nifty has recovered losses of the previous three weeks. He said strong buying interest supported the rally.

He added that a sustained move above 26,400 could trigger further upside in the coming sessions. However, a breakdown below 24,650 could lead to fresh downside pressure.

Global Cues Support Market Sentiment

Global markets also helped Indian equities. US markets closed higher on Friday, and Asian markets opened firm.

Japan also delivered strong political signals after snap elections held on February 8. The results supported the Prime Minister’s pro fiscal stimulus and tax cut policies.