Indian Markets Begin Week On A High As Hopes Rise For US–China Trade Agreement

Indian stock markets opened higher on Monday, buoyed by encouraging developments in trade negotiations between the United States and China.

Investor confidence strengthened following reports suggesting that the two nations are nearing an agreement to ease ongoing trade tensions.

The Sensex traded at 84,450, up 239 points or 0.28 per cent, while the Nifty advanced 79 points or 0.30 per cent to reach 25,874.

On a weekly basis, the index saw a correction of nearly 311 points from its recent peak, reflecting increased volatility and profit booking at elevated levels.

Analysts noted, “A breakdown below 25,670 could trigger weakness toward 25,500–25,400, while on the upside, resistance is placed at 25,950, followed by 26,000 and 26,100.”

“Sustaining above these resistance levels will be crucial for the index to resume its upward trajectory,” they further noted.

Top Gainers and Losers

Among the major gainers on the Sensex were Tata Steel, Bharti Airtel, Tech Mahindra, and HDFC Bank, each rising up to 1.4 per cent.

Meanwhile, Infosys, BEL, Kotak Mahindra Bank, and Bajaj Finance were among the top losers, slipping as much as 1.4 per cent.

Broader indices also traded positively, with the Nifty MidCap gaining 0.46 per cent and the Nifty SmallCap up 0.23 per cent.

The rally followed remarks from US Treasury Secretary Scott Bessen, who stated on Sunday that President Trump’s proposed 100 per cent tariffs on Chinese imports were ‘off the table’.

Bessen also revealed that China plans to boost soybean imports and postpone restrictions on rare earth exports, helping to ease global trade concerns.

All NSE sectoral indices traded higher, led by the Nifty Realty index, which rose 1 per cent.

Market experts said that upbeat global cues and optimism surrounding the potential US–China deal lifted investor sentiment, setting a strong tone for the week.

Analysts observed, “Comments from the US Treasury Secretary Scot Bessent that there is a ‘substantial framework for trade negotiations with China’ indicate that a US-China trade deal is on the cards.”

“For India, the fundamentals are also turning positive with brisk festival season sales and reports of a smart pick up in capital spending by the private sector. This long awaited trend has significant positive implications for India’s growth and stock market,” they further added.

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