Indian stock markets ended higher on Thursday, supported by gains in information technology stocks and improving investor sentiment after reports suggested progress in negotiations between the United States and Iran regarding a possible extension of the ongoing ceasefire.
The BSE Sensex climbed over 220 points during trading and moved closer to the 76,100 mark, while the NSE Nifty approached the psychologically important 24,000 level. Markets recovered after a subdued opening as investors reacted positively to reports indicating that Washington and Tehran were discussing a 60-day extension of the existing truce.
Information technology stocks emerged as the biggest contributors to the rally. Shares of major IT companies including Wipro, Infosys, Tata Consultancy Services (TCS), and HCLTech witnessed strong buying interest after Wipro announced an expanded partnership with ServiceNow focused on artificial intelligence-driven workflow solutions. The Nifty IT index gained nearly 3% during the session.
Investor confidence also improved after crude oil prices eased from recent highs. Brent crude remained below earlier peak levels as markets reacted to expectations that shipping activity through the Strait of Hormuz could stabilise if diplomatic efforts between the US and Iran continue to progress. Lower oil prices are generally viewed as positive for India because the country remains one of the world’s largest energy importers.
Global market sentiment remained broadly supportive as Asian equities advanced following renewed optimism surrounding artificial intelligence investments and easing concerns about immediate escalation in the Middle East. Wall Street also remained near record highs despite continued geopolitical uncertainty.
However, analysts cautioned that market sentiment remains sensitive to developments in West Asia. While reports of a ceasefire extension provided relief, investors continue to monitor negotiations closely because any disruption in talks could again trigger volatility in oil prices, currencies, and global equities.
Among individual stocks, Wipro gained after announcing its AI-focused partnership, while several technology counters recorded strong advances. On the other hand, some sectors remained under pressure, with select healthcare, defence, and consumer stocks witnessing profit booking. Bharat Dynamics and Bata India were among notable laggards after earnings-related reactions from investors.
Market experts said easing crude prices, stable domestic economic indicators, and expectations of stronger corporate earnings are helping support Indian equities despite global uncertainties. However, they also noted that investors remain cautious because of geopolitical risks, currency fluctuations, and upcoming economic data releases.
For the week so far, both benchmark indices have remained in positive territory. The Nifty has gained nearly 1%, while the Sensex has advanced around 0.8%, reflecting resilience in domestic markets despite ongoing global tensions.
Analysts believe future market direction will largely depend on developments in US-Iran negotiations, movement in crude oil prices, foreign institutional investment flows, and upcoming domestic economic data. A sustained decline in energy prices could further support Indian equities in the near term, while any fresh geopolitical escalation may increase volatility across sectors.
