Indian equity markets opened the week on a positive note, with both benchmark indices extending gains amid strong buying interest in key sectors. The upbeat momentum mirrored global market strength, particularly following a record-breaking rally in Japan’s Nikkei 225 index that lifted investor sentiment worldwide.

Benchmark Indices Maintain Upward Momentum

The BSE Sensex climbed more than 200 points, while the Nifty50 index advanced past the 24,900 mark during Monday’s session. Both indices recorded an approximate gain of 0.25%, reflecting steady investor confidence across major sectors. The rally was primarily supported by robust performances in banking and information technology shares, which have been consistent drivers of market stability in recent weeks.

Banking and IT Stocks Lead Market Gains

Heavyweight banking counters saw renewed buying interest as investors bet on continued earnings growth and stable credit demand. Information technology companies also contributed significantly to the day’s upward movement, buoyed by positive global cues and expectations of sustained demand for digital services. Together, these two sectors provided the backbone for Monday’s rally, offsetting mild profit-booking seen in select mid-cap and small-cap segments.

Global Markets Boost Investor Confidence

Investor sentiment in India was further lifted by strong performances across major global markets. Japan’s Nikkei 225 surged more than 4% to reach an all-time high following Sanae Takaichi’s election, which sparked optimism about policy continuity and economic reforms in Asia’s second-largest economy. The rally in Tokyo set a positive tone for other Asian exchanges and encouraged investors to take on more risk across emerging markets.

Broader Market Trends Reflect Positive Outlook

Beyond the headline indices, broader market participation remained healthy as most sectoral indices traded in positive territory. Analysts noted that global liquidity conditions and resilient corporate earnings continue to underpin domestic equities despite intermittent volatility. The combination of favorable international cues and steady institutional inflows has helped sustain India’s market momentum through recent sessions.

Analysts See Continued Strength Ahead

Market experts suggest that the near-term outlook remains constructive, supported by improving macroeconomic indicators and ongoing foreign investment activity. However, they also caution that valuations remain elevated, which could lead to short-term corrections if global risk appetite weakens or profit-taking intensifies at higher levels. For now, traders appear focused on key economic data releases and corporate earnings updates expected later this month to gauge future direction. The day’s performance underscored how closely Indian equities are tracking international developments while maintaining their domestic growth narrative. With both Sensex and Nifty50 closing higher amid broad-based buying, investors are likely to remain cautiously optimistic as they navigate evolving global market dynamics.