India’s BSE Sensex closed about 1.8% higher at 73,273 on Wednesday, rebounding from its sharpest monthly decline since 2020 in March, and tracking gains in global markets as geopolitical worries eased. Risk appetite improved after President Trump signaled that the US could withdraw from the Iran conflict within two to three weeks, saying there was no compelling reason to prolong hostilities. On the Iranian side, President Masoud Pezeshkian indicated a readiness to end the war, contingent on credible guarantees against future attacks.
The advance was broad-based across sectors, with Trent (+6.7%) leading the gains. InterGlobe Aviation jumped 6.2%, supported by softer crude prices and the appointment of former British Airways chief Willie Walsh as its new CEO. Engineering and capital goods heavyweight Larsen & Toubro, which has significant exposure to the Middle East, climbed around 3%. Among major index constituents, Bajaj Finance and HDFC Bank added 2.5% and 1.4%, respectively.
