Market shrugs off geopolitical worries as UK trade deal, global cues, and foreign fund inflows support investor sentiment.
May 7, 2025: Indian equity benchmarks closed in positive territory on May 7, defying early volatility and geopolitical jitters from India’s Operation Sindoor. The Sensex gained 105 points, while the Nifty reclaimed the 24,400 mark, bolstered by sectoral gains in auto, realty, and metal stocks.
Also Read: Pakistan Stock Market Crashes 5% After Operation Sindoor Strikes
🟢 Key Drivers of Market Optimism
- UK-India Free Trade Agreement: News of a landmark trade deal between India and the UK buoyed investor sentiment.
- Easing Global Trade Tensions: Improved cues from international markets helped stabilize risk appetite.
- Robust FII Inflows: Strong foreign fund participation provided liquidity support, especially in large-cap and cyclical stocks.
📊 Market Snapshot – May 7, 2025
- Sensex: +105 pts | Ends at 81,342
- Nifty 50: Reclaims 24,400, closing at 24,417
- Top Gainers: Tata Motors, JSW Steel, DLF
- Sectoral Boost: Realty (+1.4%), Auto (+1.2%), Metals (+1.1%)
Despite the looming threat of military escalation following India’s airstrikes on terror camps in Pakistan, the market demonstrated resilience. Traders say that India’s measured and non-escalatory posture, alongside global confidence in the Indian economy, helped maintain equilibrium.
Tags: Sensex, Nifty, India stock market, Operation Sindoor, UK-India FTA, foreign investors, geopolitical tensions, Indian equities