NIFTY TRADES ABOVE 23,950; PSU BANK SHARES IN DEMAND

The key equity barometers traded with major gains in early afternoon trade, driven by a sharp decline in oil prices following the ceasefire agreement between the US and Iran. Market sentiment was further lifted by a strengthening rupee, adding to the overall positive momentum, and was further supported by the RBI�s Monetary Policy Committee (MPC) decision. The MPC kept the benchmark interest rate unchanged at 5.25% in its first policy meeting of the financial year 2026�27, under Governor Sanjay Malhotra.

The Nifty traded above the 23,950 mark. PSU bank shares advanced after falling in the previous trading session.

At 12:30 ST, the barometer index, the S&P BSE Sensex, climbed 2,844.86 points or 3.81% to 77,461.44. The Nifty 50 index soared 839.55 points or 3.63% to 23,966.65.

The broader market outperformed the frontline indices. The BSE 150 MidCap Index surged 4% and the BSE 250 SmallCap Index jumped 3.80%.

The market breadth was strong. On the BSE, 3,790 shares rose and 460 shares fell. A total of 127 shares were unchanged.

RBI MPC outcome:

The Reserve Bank of India�s (RBI) Monetary Policy Committee (MPC) decided to keep the repo rate unchanged at 5.25% while announcing its first policy decision for FY27 on Wednesday, April 8. The six-member panel, chaired by Governor Sanjay Malhotra, met over the past few days to review key issues. This review comes amid rising geopolitical tensions in West Asia and a weakening rupee. In its last meeting in February 2026, the MPC had kept the repo rate steady at 5.25% after a cumulative 125-basis-point cut in 2025, adopting a cautious �wait-and-watch� approach focused on stability.

Middle East conflict update:

The US and Iran have reportedly entered a temporary two-week ceasefire arrangement, with Pakistan acting as mediator and Islamabad set to host follow-up talks. The deal appears to be conditional, with the Strait of Hormuz at the center of the discussions; reporting suggests Iran would allow shipping access under military coordination, while the US would pause offensive action. The media outlets describe the broader framework as a proposal under discussion rather than a concluded peace deal, and Iran�s 10-point demands � including sanctions relief, nuclear recognition, and US troop withdrawal � remain unverified as agreed terms.

Derivatives:

The NSE`s India VIX, a gauge of the market`s expectation of volatility over the near term, tanked 20.42% to 19.65. The Nifty 28 April 2026 futures were trading at 24,008.50, at a discount of 41.85 points as compared with the spot at 23,966.65.

The Nifty option chain for the 28 April 2026 expiry showed a maximum call OI of 44.9 lakh contracts at the 24,000 strike price. A maximum put OI of 48.3 lakh contracts was seen at the 23,000 strike price.

Buzzing Index:

The Nifty PSU Bank index jumped 5.27% to 8,700.45. The index shed 0.71% in the past trading session.

Union Bank of India (up 7.8%), Bank of India (up 6.64%), Bank of Baroda (up 6.34%), UCO Bank (up 6.17%), Canara Bank (up 5.67%), Punjab & Sind Bank (up 5.65%), Punjab National Bank (up 5.35%), Bank of Maharashtra (up 5.35%), Indian Bank (up 5.24%), and Indian Overseas Bank (up 4.8%) surged.

Stocks in Spotlight:

Gail (India) jumped 5.89% after the company said that it has entered into a long-term charter party agreement with Alpha Gas, a leading Greek shipping major, for the LNG carrier "Energy Fidelity."

Biocon added 3.78% after the company�s subsidiary Biocon Pharma announced the receipt of U.S. Food and Drug Administration (USFDA) approval for Dapagliflozin tablets.

Dredging Corporation of India (DCIL) jumped 6.44% after the company signed a memorandum of understanding (MoU) with Colombo Dockyard PLC, marking a major milestone in strengthening maritime cooperation between India and Sri Lanka.