After the fall in crude oil prices amid the ongoing war in the Middle East, a good recovery was seen in the domestic stock market today. On Tuesday, BSE Sensex closed at 78,205.98, up 639.82 points (0.82%). The NSE Nifty 50 index also closed at 24,261.60, up 233.55 points (0.97%). It is noteworthy that a big fall was seen in the market on Monday. Apart from this, last week also there was a big fall in the domestic stock market. However, today investors have heaved a sigh of relief.
Rise in shares of Mahindra & Mahindra
On Tuesday, 24 out of 30 Sensex stocks closed in the green with gains, while the remaining six closed in the red with a decline. Similarly, 41 out of 50 Nifty 50 stocks closed with gains, while the remaining nine closed in the red. Among Sensex stocks, Mahindra & Mahindra closed with the maximum gain of 3.67 percent, while Infosys closed with the maximum fall of 1.40 percent.
Crude prices fall sharply due to Trump’s statement
Donald Trump has indicated that the ongoing war with Iran may end soon. He said that the fighting is about to end and the US is preparing to take control of the Strait of Hormuz. Trump’s statement had an immediate impact on the commodity market. Brent crude oil fell nearly 25% to below $90 after hitting $119 intraday yesterday. Investors will also keep an eye on the G7 Energy Ministers meeting today, which may provide important clues about the oil market. However, a strong warning has also come from Iran. Iran’s Foreign Minister has said that ships passing through the Strait of Hormuz should be very careful, because geopolitical uncertainty has not completely ended yet.
Recovery in global markets
US markets witnessed a strong recovery due to falling crude oil prices and expectations of an early end to the war. The Dow Jones Industrial Average jumped 1,125 points from its lowest level of the day and closed nearly 250 points higher.
After huge fluctuations, Nasdaq closed with a gain of about 300 points.
Growth is also being seen in the Asian market.
The markets of Korea and Japan grew between 3% and 6%.
Gift Nifty is trading around 24,400, up by about 250 points.
Dow futures are down nearly 100 points.