Investors gain Rs 18.42 lakh crore in 2-day market rally as global cues spark optimism

Investors witnessed a massive boost in wealth, with Rs 18.42 lakh crore added to their portfolios over two days, driven by a sharp surge in equity markets. The rally mirrored a global uptrend following US President Donald Trump’s decision to ease tariffs on electronics and his hints at potential duty relief on automobiles.

Extending gains for a second consecutive session on Tuesday, the 30-share BSE Sensex climbed 1,577.63 points, or 2.10%, to close at 76,734.89. Across the last two trading days, the benchmark index has jumped by 2,887.74 points or 3.91%.

The market capitalisation of companies listed on the BSE soared by Rs 18,42,028.91 crore to reach a staggering Rs 4,12,24,362.13 crore (USD 4.81 trillion) over this short span.

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“Buoyancy across global equity markets provided major support to local benchmarks as recent developments suggest that there could be some solutions to the ongoing tariff war over the next few weeks. However, falling crude oil prices and strong FII fund outflows continue to create a lot of uncertainty among the investors,” Prashanth Tapse, Senior VP (Research) at Mehta Equities Ltd told PTI.

Reflecting the broad-based optimism, the BSE smallcap index jumped 3.21%, while the midcap gauge surged 3.02% on Tuesday.

“Benchmark indices Sensex and Nifty jumped more than 2 per cent on account of positive global market cues after US President Trump announced a temporary tariff relief on phones, computers and popular consumer electronics. He also hinted at possible exemptions on tariffs for imported vehicles and auto parts,” said Siddhartha Khemka, Head of Research - Wealth Management at Motilal Oswal Financial Services Ltd.

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All BSE sectoral indices ended in the green, with Realty leading the charge by soaring 5.81%. Industrials jumped 3.76%, followed by capital goods (3.67%), auto (3.39%), consumer discretionary (3.12%), financial services (2.94%), and metals (2.75%).

“The rally is fuelled by the surprise pause in reciprocal tariffs which continued today led by the exemption on electronics goods also. Auto stocks gained on potential tariff relief,” added Vinod Nair, Head of Research at Geojit Investments Limited.

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Out of all the traded stocks on the BSE, 3,302 advanced, 785 declined, and 169 remained unchanged — indicating a strong bullish sentiment.

Among the Sensex constituents, IndusInd Bank led the gainers’ list with a 6.84% jump, followed by Tata Motors which rose 4.50%. Other notable gainers included Larsen & Toubro, Axis Bank, Adani Ports, HDFC Bank, ICICI Bank, and HCL Tech.

On the flip side, ITC and Hindustan Unilever were the only laggards in an otherwise buoyant session.