The rally gathered momentum as crude oil prices tumbled below $95 mark following a US-Iran ceasefire, cooling global risk jitters and igniting risk appetite. Strong global cues further amplified the bullish undertone. Adding to the tailwinds, the Reserve Bank of India held the repo rate steady at 5.25% with a neutral stance, reinforcing policy stability and bolstering investor confidence.

The S&P BSE Sensex climbed 2,946.32 points or 3.95% to 77,562.90. The Nifty 50 index soared 873.70 points or 3.78% to 23,997.35. In five consecutive sessions, the Sensex surged 7.80% while the Nifty soared 7.46%.

Larsen & Toubro (up 7.64%), HDFC Bank (up 5.71%) and ICICI Bank (up 5.06%) boosted the indices today.

In the broader market, the BSE 150 MidCap index added 3.97% and the BSE 250 SmallCap index rose 3.88%.

The market breadth was strong. On the BSE, 3859 shares rose and 537 shares fell. A total of 101 shares were unchanged.

The NSE's India VIX, a gauge of the market's expectation of volatility over the near term, slumped 20.23% to 19.70.

RBI Policy Outcome:

The RBI's Monetary Policy Committee (MPC), chaired by Governor Sanjay Malhotra, unanimously voted to maintain the repo rate under the liquidity adjustment facility (LAF) at 5.25%. Accordingly, the standing deposit facility (SDF) rate remains at 5.00%, while the marginal standing facility (MSF) rate and the Bank Rate continue at 5.50%. The committee also retained its 'neutral' policy stance.

The central bank flagged rising global risks, noting that the conflict in West Asia has disrupted supply chains, creating a challenging environment of higher prices and slower global growth. It added that monetary policy now faces a delicate balance between anchoring inflation and supporting growth.

On the domestic front, India's economy remained resilient in FY26, with real GDP growth revised higher to 7.6% YoY as per the Second Advance Estimates, compared to 7.4% projected earlier in the First Advance Estimates.

However, the RBI warned that elevated energy and commodity prices, along with potential disruptions in the Strait of Hormuz, could weigh on growth going forward. Real GDP growth for FY27 is pegged at 6.9%, with quarterly projections at 6.8% in Q1, 6.7% in Q2, 7.0% in Q3 and 7.2% in Q4.

Inflation risks have also firmed up. CPI inflation for FY27 is projected at 4.6%, up sharply from 2.1% earlier, with upside risks stemming from elevated energy prices and potential weather disruptions such as El Ni'o impacting the monsoon.

The MPC noted that while headline inflation remains below target and core inflation is muted, uncertainties around supply chains and possible second-round effects warrant caution.

Given the evolving global situation and supply-side shocks, the RBI emphasised a wait-and-watch approach, highlighting that India's economic fundamentals remain strong enough to absorb external shocks.

The MPC minutes will be released on 22 April 2026, while the next policy meeting is scheduled from 3 June 2026 to 5 June 2026.

Short-Term Ceasefire in Middle East:

The US and Iran have reportedly entered a temporary two-week ceasefire arrangement, with Pakistan acting as mediator and Islamabad set to host follow-up talks. The deal appears to be conditional, with the Strait of Hormuz at the center of the discussions; reporting suggests Iran would allow shipping access under military coordination, while the US would pause offensive action. The media outlets describe the broader framework as a proposal under discussion rather than a concluded peace deal, and Iran's 10-point demands ' including sanctions relief, nuclear recognition, and US troop withdrawal ' remain unverified as agreed terms.

Numbers to Track:

The yield on India's 10-year benchmark federal paper declined 1.63% to 6.927 compared with previous session close of 7.042.

In the foreign exchange market, the rupee edged higher against the dollar. The partially convertible rupee was hovering at 92.5950 compared with its close of 93.0600 during the previous trading session.

MCX Gold futures for 5 June 2026 settlement rose 1.76% to Rs 152,900.

The US Dollar Index (DXY), which tracks the greenback's value against a basket of currencies, was down 0.80% to 98.87.

The United States 10-year bond yield fell 2.33% to 4.242.

In the commodities market, Brent crude for June 2026 settlement fell $14.48 or 13.25% to $94.79 a barrel.

Global Markets:

US Dow Jones futures surged 1,222 points, signalling a strong start for Wall Street later today.

European and Asian markets rallied after U.S. President Donald Trump agreed to suspend planned military action on Iran for two weeks as part of a ceasefire deal, easing tensions and dragging oil prices sharply lower.

The move is contingent on Iran ensuring the 'complete, immediate, and safe' reopening of the Strait of Hormuz, Trump said in a social media post.

Iranian Foreign Minister Abbas Araghchi said Tehran's armed forces would cease defensive operations. He added that safe passage through the Strait would be coordinated with Iran's military during the two-week window.

Overnight, US markets ended mixed amid cautious optimism around the negotiations. The Dow Jones Industrial Average slipped 0.18% to 46,584.46, while the S&P 500 edged up 0.08% and the Nasdaq Composite gained 0.10%.

Stocks recovered sharply in the final hour of trade after Shehbaz Sharif said diplomatic efforts to resolve the Middle East conflict were progressing and urged an extension of the deadline, alongside reopening the Strait of Hormuz as a goodwill measure.

Stocks in Spotlight:

Adani group stocks surged after media reports said a US court allowed the group to move toward dismissal of a case filed by the U.S. Securities and Exchange Commission.

Leading the rally, Adani Green Energy jumped 11.38%, followed by Adani Energy Solutions at 8.78%, Adani Enterprises at 8.62%, Adani Total Gas at 7.44%, and NDTV at 7.14%. Ambuja Cements and ACC gained 6.37% and 5.20%, respectively, while Adani Ports and Special Economic Zone rose 5.28%, and Adani Power added 3.55%.

Media reports said the US court allowed a pre-motion conference on the group's plea to dismiss the case linked to a 2021 bond sale by Adani Green Energy. The group has contested the case, citing lack of US jurisdiction and overreach of US securities laws.

The case dates back to November 2024, when the SEC sued Gautam Adani and Sagar Adani. The regulator alleged they misled investors by not disclosing an alleged bribery scheme linked to Indian officials. In its plea, the group said the SEC's claims around the 2021 bond sale are legally flawed on multiple grounds.

Titan Company surged 6.18% after the company reported a robust 46% year-on-year growth across its consumer businesses in Q4 FY26. The jewellery business emerged as the standout performer, delivering around 46% YoY growth. The watches division reported about 7% YoY growthsupported by a 16% rise in analog watches, even as the smartwatches segment declined sharply by 53%. The eyewear business grew about 16% YoY.

Shriram Finance surged 10% after MUFG Bank completed a major investment in the company. MUFG Bank subscribed to 47.11 crore equity shares of Shriram Finance through a preferential issue at Rs 840.93 per share, taking the total investment to around Rs 39,618 crore. Post the allotment, MUFG will hold a 20% stake in the NBFC on a fully diluted basis.

Angel One soaed 8.72% after the company's client base climbed 20.5% to 37.39 million in March 2026 compared with 31.02 million in March 2025.

Vidya Wires jumped 4.43% after the company's sales jumped 57.5% to Rs 597.92 crore in Q4 FY26 compared with Rs 379.62 crore in Q4 FY25.

SML Mahindra climbed 9.22% after the company's commercial vehicles (CV) sales jumped 12.4% to 2,393 units in March 2026 compared with 2,129 units sold in March 2025.

P N Gadgil Jewellers rose 2.66% after the company's total revenue surged 124% to Rs 3,552 crore in Q4 FY26 compared with Rs 1,587 crore in Q4 FY25. The retail segment recorded 102% YoY growth in Q4 FY26. Franchise operations grew by 132% YoY, while E-commerce recorded a 67% YoY increase.

Dredging Corporation of India (DCIL) gained 5.75% after the company signed a memorandum of understanding (MoU) with Colombo Dockyard PLC, marking a major milestone in strengthening maritime cooperation between India and Sri Lanka.

Biocon advanced 2.90% after the company's subsidiary Biocon Pharma announced the receipt of U.S. Food and Drug Administration (US FDA) approval for Dapagliflozin Tablets.

Hyundai Motor India jumped 4.24% after the auto maker said that the company it planned to increase the prices of its cars up to 1% across the portfolio, effective May 2026.

Life Insurance Corporation of India (LIC) surged 6.75% as the company's board is scheduled to meet on Monday, 13 April 2026m to consider a proposal of bonus share issue.

Prestige Estates Projects zoomed 7.97% after the company's pre-sales jumped 10% year'on-year (YoY) to Rs 7,697 crore in Q4 March 2026. On annual basis, the company's pre-sales surged 76% YoY to Rs 30,024 crore in FY26.

Zydus Lifesciences advanced 2.05% after the company received final approval from the United States Food and Drug Administration (USFDA) for Dapagliflozin tablets, 5 mg and 10 mg.

Royal Orchid Hotels surged 9.22% after the company announced a strategic partnership with Hilton to develop 125 Hampton by Hilton hotels across India.

Antony Waste Handling Cell jumped 6.13% after the company announced that its subsidiary Antony Lara Enviro Solutions has secured investment of over 750 million yen for setting up of two waste-to-energy projects in Andhra Pradesh.

OBSC Perfection soared 10.91% after the company received a nomination letter from an India-based auto components manufacturer for an order worth Rs 22.6 crore.