Markets Open Higher On India–US Trade Clarity; Sensex, Nifty Gain

Indian equity markets opened the week on a positive footing on Monday, tracking improved clarity on the India–US interim trade framework, stronger domestic fundamentals and easing geopolitical uncertainties.

At around 9:25 AM, the Sensex was up 370 points, or 0.44 per cent, at 83,950, while the Nifty gained 117 points, or 0.46 per cent, to trade at 25,811.

Broader markets outperformed the benchmarks, with the Nifty Midcap 100 rising 0.66 per cent and the Nifty Smallcap 100 advancing 0.85 per cent.

All sectoral indices traded in the green, led by PSU banks, which surged 2.45 per cent, and metal stocks, up 1.56 per cent.

Key Support and Resistance Levels

Market participants noted that immediate support for the Nifty is placed in the 25,550–25,600 range, while resistance is seen at the 25,850–25,900 zone.

Analysts said the India-US trade pact has removed a key overhang, improved export visibility and sparked renewed interest from foreign investors.

The Reserve Bank of India’s pause on repo rate changes with a neutral stance, coupled with benign inflation expectations for FY26 and a steady growth outlook, continues to underpin macroeconomic stability.

Easing concerns over a potential US–Iran conflict, strong domestic institutional inflows, a stabilising rupee and sustained traction in Budget-led capital expenditure themes are further supporting sentiment.

Overall market tone remains constructive, with attention shifting to the durability of foreign inflows and early signs of recovery in export-oriented sectors.

Asian markets also traded higher, with China’s Shanghai index up 1.17 per cent and Shenzhen gaining 2.07 per cent. Japan’s Nikkei jumped 4.27 per cent, Hong Kong’s Hang Seng Index rose 1.61 per cent, and South Korea’s Kospi advanced 4.17 per cent.

US markets closed higher in the previous session, with the Nasdaq up 2.18 per cent, the S&P 500 adding 1.97 per cent, and the Dow Jones rising 2.47 per cent.

On February 6, foreign institutional investors net bought equities worth Rs 1,951 crore, while domestic institutional investors were net sellers to the tune of Rs 1,265 crore.