Indian Stocks End Losing Streak on US-Iran Ceasefire

Indian equity benchmarks ended a six-week losing streak with strong weekly gains, propelled by a temporary US-Iran ceasefire that eased geopolitical tensions and drove down crude oil prices. The BSE Sensex closed at 77,550.25 on Friday, up 918.60 points or 1.20 percent for the day and 5.77 percent for the week. The NSE Nifty 50 settled at 24,050.60, gaining 275.50 points or 1.16 percent daily and 5.89 percent weekly. The Nifty Bank index outperformed, rising 8.47 percent to 55,912.75.

The rally gained momentum mid-week following the announcement of a two-week suspension of military strikes between the US and Iran, which included Iran's agreement to reopen the Strait of Hormuz for shipments. This led to a sharp 4 percent jump in both Sensex and Nifty on Wednesday, with markets opening higher on subsequent days and sustaining gains amid buying on dips. Brent crude prices fell below $100 per barrel, dropping from around $115 earlier in the week to between $95 and $100, reducing inflation concerns and bolstering sentiment in oil-sensitive sectors.

Domestic institutional investors provided robust support, purchasing equities worth about 21,600 crore rupees during the week, offsetting...