Green Stocks Lead Rally As Sensex Jumps 4% On US-Iran Ceasefire

The Indian stock market witnessed a strong rally, with the BSE Sensex surging nearly 4% to close at 77,562.90. The broader market also reflected positive momentum as the Nifty 50 reclaimed the 24,000 mark during the trading session. This sharp rise was mainly driven by easing global geopolitical tensions, which boosted investor confidence across sectors.

The key trigger behind the rally was a major diplomatic development between the United States and Iran. Both nations agreed to a temporary two-week ceasefire, reducing fears of an escalation in conflict. This announcement came just before an important U.S. deadline, bringing immediate relief to global markets, especially in the energy sector.

Following the news, global crude oil prices saw a significant decline. Brent crude dropped below the $100 per barrel mark as concerns over supply disruptions through the Strait of Hormuz eased. For India, which depends heavily on imported oil, this drop is a positive development. Lower crude prices help reduce inflation and ease pressure on the country’s fiscal balance.

The improved sentiment led to strong buying in the renewable energy and power sectors. Adani Green Energy emerged as one of the top gainers, rising nearly 12% to close at 1,035.00. Other renewable-focused companies also saw sharp gains. EKI Energy Services jumped over 16%, while Inox Wind gained more than 7%.

Traditional energy and infrastructure companies also performed well during the session. Larsen & Toubro rose 7.81%, reflecting strong investor confidence in capital goods and infrastructure growth. Indian Oil Corporation gained nearly 7% as lower crude prices improved the outlook for refining margins.

Other companies linked to renewable manufacturing, such as Borosil Renewables and Insolation Energy, also recorded gains of over 6%. Meanwhile, battery and mobility players like Exide Industries and Amara Raja Energy & Mobility saw moderate increases, supported by positive sector sentiment.

Overall, the ceasefire announcement led to a strong boost in market sentiment, resulting in a significant increase in investor wealth. While markets remain cautious about future geopolitical developments, the immediate reaction has been overwhelmingly positive, with substantial gains recorded across multiple sectors in a single trading session.