Sensex Closes 1,006 Points Up, Nifty Reclaims 24,300: 5 Key Reasons Behind Monday’s Stock Market Rally

Positive global cues, diplomatic handling of tensions, and strong FII inflows helped Indian equities rebound sharply; Reliance and banking stocks led the rally.

Mumbai, April 28, 2025 —
The Indian stock market rebounded sharply on Monday, April 28, with the Sensex jumping 1,006 points (1.27%) to close at 80,218.37 and the Nifty 50 rallying 289 points (1.20%) to finish at 24,328.50.

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During intraday trade, the Sensex had surged over 1,100 points, briefly touching 80,322, while the Nifty 50 crossed 24,350. The BSE Midcap and Smallcap indices also closed higher by 1.34% and 0.39%, respectively.

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The total market capitalisation of BSE-listed firms rose by nearly ₹4 lakh crore in a day to reach ₹426 lakh crore.

📈 What Powered Today’s Stock Market Rally?

Here are the five key factors that drove the market higher:

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1. India’s Diplomatic Response to Pahalgam Attack

Despite rising tensions after the Pahalgam terror attack, India’s measured diplomatic handling — avoiding an aggressive military response — boosted investor confidence.
The global community’s strong condemnation of the attack and calls for restraint, including from the US, reassured the markets that escalation into war was unlikely.

Also Read: Salman Khan Halts UK Tour After Pahalgam Terror Attack

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2. Easing US-China Trade War Fears

US President Donald Trump hinted at positive negotiations with China regarding tariffs, lowering global market anxiety.
Analysts say trade tensions appear to have peaked, encouraging a global risk-on sentiment that also supported Indian equities.

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3. Strong Foreign Portfolio Investor (FPI) Buying

Foreign investors poured ₹32,465 crore into Indian equities over the last eight trading sessions.
A weakening US economy and depreciating dollar pushed FIIs back toward emerging markets like India, where growth prospects remain robust.

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4. Reliance, Banks Lead the Charge

Shares of Reliance Industries rose over 5% following strong Q4 earnings, while heavyweight banking stocks such as ICICI Bank, HDFC Bank, Axis Bank, and SBI also posted gains.
Together, these five stocks accounted for a major portion of Sensex’s jump today.

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5. Positive Market Undertone Encourages ‘Buy on Dips’

Despite previous sessions’ declines, the broader medium- to long-term outlook for Indian markets remains bullish.
Sectors like healthcare, digital tech, electronics manufacturing, capital goods, and defence are seen as strong future growth drivers, reinforcing investor optimism.

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In summary, India’s strategic restraint, global optimism, strong corporate earnings, and consistent FII inflows have created a solid base for today’s sharp rally. Experts believe the Indian growth story remains firmly intact, and markets could see further momentum if geopolitical tensions remain under control.

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Sensex Today, Nifty 50, Indian Stock Market, Stock Market News, Sensex Rises 1000 Points, Market Rally April 28, Reliance Share Price, FII Buying, US-China Trade War, Pahalgam Terror Attack Impact