The key domestic indices continued to trade with moderate gains in mid-morning trade, supported by the peace agreement between the United States and Iran. Investor sentiment remained positive amid easing geopolitical tensions; however, caution prevailed due to delays in monsoon progress, which have heightened concerns over food inflation. Market participants will closely track key outcomes from the G7 Summit, along with monsoon developments, foreign institutional investor (FII) activity, and inflation trends for further directional cues. The Nifty traded above the 24,050 level. IT shares climbed for third consecutive trading session.
At 11:25 IST, the barometer index, the S&P BSE Sensex advanced 344.29 points or 0.45% to 77,152.77. The Nifty 50 index jumped 98.60 points or 0.41% to 24,087.75.
The broader market outperformed the frontline indices. The BSE 150 MidCap Index gained 0.53% and the BSE 250 SmallCap Index added 0.51%.
The market breadth was strong. On the BSE 2,365 shares rose and 1,511 shares fell. A total of 209 shares were unchanged.
In the foreign exchange market, the rupee edged higher against the dollar. The partially convertible rupee was hovering at 94.4350 compared with its close of 94.6000 during the previous trading session.
In the commodities market, Brent crude for August 2026 settlement fell 53 cents or 0.67% to $78.43 a barrel.
Buzzing Index:
The Nifty IT index added 0.90% to 28,824.60, extending its gaining streak to a third straight session. The index has gained 3.7% in the three trading days.
Infosys (up 1.34%), Tech Mahindra (up 1.33%), Wipro (up 1.11%), Tata Consultancy Services (up 0.97%) and Mphasis (up 0.54%), HCL Technologies (up 0.47%), Persistent Systems (up 0.45%), Coforge (up 0.17%), LTM (up 0.02%) surged.
Monsoon Gap Raises Concerns
India's southwest monsoon has stalled after reaching Kerala, leaving the country with a rainfall deficit of 35% as of 16 June. The shortfall is most severe in central India (63%) and eastern and northeastern regions (43%), while the monsoon has yet to reach Mumbai, more than a week after its normal arrival date. The delay comes amid growing concerns over a developing El Ni'o, which typically weakens monsoon rains.
The India Meteorological Department (IMD) expects the current slowdown to persist for another five to six days due to unfavorable weather conditions. In response, the Centre has placed 150-200 districts under close monitoring, asked states to prepare crop contingency plans, and warned that a weak monsoon could increase food inflation and pressure agricultural output. Despite the concerns, officials said seed, fertiliser and reservoir stocks remain adequate for now.
G7 Summit:
The Group of Seven (G7) is an annual forum comprising the world's leading advanced economies that discusses key global economic, security, and geopolitical issues. The 2026 G7 Summit is being hosted by France in 'vian-les-Bains from 15 to 17 June.
Prime Minister Narendra Modi yesterday addressed the Outreach Session on ''Forging New Partnerships and Rebuilding International Solidarity', at the G7 Summit in Evian, France.
In his intervention, Prime Minister underlined that, in an interconnected world, where energy, food, health, cyber, and economic security are intertwined, building international partnerships was a necessity for the progress and prosperity of humanity. He further added that, in an uncertain world, trade and technology were being misused for narrow interests, leading to a trust deficit in the international arena.
Among the key developments being closely watched is the meeting between Indian Prime Minister Narendra Modi and U.S. President Donald Trump.
Stocks in Spotlight:
Infosys rose 1.09% to Rs 1,156.10 after the company announced a strategic, long-term collaboration with Valmet, a global technology leader serving process industries. The company will deploy its AI-powered Infosys Topaz Fabric, a composable and open agentic services suite, to embed intelligence across IT operations. Under the agreement, the company will modernize Valmet's core IT services and deliver end-to-end IT transformation initiatives aimed at enhancing operational efficiency and aligning IT operations more closely with business priorities.
Power Grid Corporation of India said it has emerged as the successful bidder under the tariff-based competitive bidding route for the WR-ER Inter-Regional Network Expansion Scheme Part-A Inter-State Transmission System (ISTS) project. The project comprises the establishment of two new 765/400 kV substations in Jharkhand and Chhattisgarh. The scope also includes the extension of existing substations in Chhattisgarh and West Bengal, along with the construction of 765 kV and 400 kV transmission lines traversing Jharkhand, Chhattisgarh and Odisha.
Global Market:
Asia markets traded mostly lower Wednesday as traders looked ahead to the US central bank's interest rate decision.
Wednesday's Federal Open Market Committee meeting marks the first one with new Chairman Kevin Warsh at the helm of the U.S. central bank. Investors are largely expecting that the Fed will keep interest rates unchanged at a target range of 3.5% to 3.75%.
Meanwhile, Japan's exports in May grew at their fastest pace since November 2022, rising 17% year on year, driven by robust demand for cars and semiconductors. Growth was higher than the 16.2% figure that was widely reported in the media, and up from the 14.8% in April.
Overnight on Wall Street, the Dow Jones Industrial Average rose to a record high on Tuesday as investors rotated out of chipmakers and into cyclical stocks amid declining oil prices.
The 30-stock index advanced 328.64 points, or 0.64%, for a record close of 51,999.67. It scored a new all-time intraday high of 52,190.29 in the session. The S&P 500 fell 0.57% and ended at 7,511.35, while the Nasdaq Composite pulled back 1.15% to 26,376.34.
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