On April 8, 2025, Sensex soared 1,141 pts & Nifty rallied 401 pts as bulls took charge after Monday’s bloodbath
On April 8, 2025, the Indian stock market staged an impressive rebound, recovering from a steep decline witnessed in the previous trading session. Both benchmark indices—BSE Sensex and NSE Nifty 50—opened higher and sustained their gains throughout the day. This rally reflected renewed investor confidence, fueled by global optimism and strong domestic cues.
Indices Performance
The BSE Sensex jumped by 1,141.14 points, or 1.56%, opening at 74,279.04. Similarly, the NSE Nifty 50 climbed 401.10 points, or 1.81%, to begin the day at 22,562.70. This recovery came after Monday’s significant sell-off, when the Sensex and Nifty plunged by 2.95% and 3.24%, respectively—marking the steepest one-day losses in the past ten months.
What Drove the Rebound
Several key factors contributed to the market’s resurgence:
Trade War Easing Signals President Donald Trump’s indication of potential negotiations with Japan helped ease global trade war concerns. Although China-U.S. tensions remained elevated, the possibility of diplomatic engagement softened investor anxiety. Equity markets across Asia responded positively, creating a ripple effect that reached Indian bourses.
Stronger Asian Market Cues Japanese stocks led gains in Asia, with the Nikkei 225 surging 6.3%. Other regional markets also closed in the green. The strong performance of Asian peers provided critical support for Indian markets at the opening bell.
Value Buying in Beaten-Down Stocks After Monday’s sharp decline, several high-quality stocks entered attractive valuation zones. Investors capitalized on these lower prices, leading to a wave of bargain hunting. Sectors like consumer durables, metals, and real estate saw renewed interest as investors placed their bets on long-term growth.
Sectoral and Stock-Specific Highlights
All 13 major sectoral indices on the NSE traded higher, reflecting broad-based participation in the rally.
Consumer Durables: The Nifty Consumer Durables Index advanced by 3.25%. Titan Company led gains in this segment, supported by robust Q4 revenue growth.
Metals: The Nifty Metal Index rose by 2.99%, signaling a rebound after a sharp sell-off triggered by global tariff concerns. Companies in this space benefited from the improved sentiment and higher base metal prices.
Realty: The Nifty Realty Index added 2.42%, with Godrej Properties and DLF among the top gainers. Godrej Properties recently reported record booking numbers for the quarter, attracting investor interest.
Top Stock Movers
Titan Company: Shares of Titan jumped 5%. The company posted a 25% year-on-year increase in standalone revenue for Q4 FY25, led by robust demand in the jewellery segment. Its strong performance attracted both retail and institutional buyers.
Bharat Electronics Limited (BEL): BEL climbed 3.4% after the Ministry of Defence awarded it a contract worth ₹2,200 crore to supply electronic warfare systems to the Indian Air Force. The announcement bolstered investor confidence in the company’s earnings visibility.
Currency and Macro Developments
The Indian rupee closed at 85.83 against the U.S. dollar, depreciating by 0.7%. This marked the currency’s worst performance in nearly three months. Global market turmoil, foreign capital outflows, and high crude oil prices contributed to the rupee’s weakness. Despite the stock market’s positive move, the forex market remained cautious.
The Reserve Bank of India (RBI) continued to monitor volatility closely. Analysts expect the central bank to intervene if the rupee crosses critical support levels. Currency fluctuations could impact import-heavy sectors and weigh on inflation.
Investor Sentiment and Risk Gauge
The market’s fear index, India VIX, cooled slightly after Monday’s surge. On April 7, India VIX had spiked by 66%, registering its largest single-session jump in over a decade. The sharp increase reflected investor nervousness following tariff-related uncertainty. However, Tuesday’s rally helped ease volatility and rebuild sentiment.
Domestic institutional investors (DIIs) showed strong buying interest throughout the session, especially in large-cap stocks. Foreign institutional investors (FIIs) remained net sellers but slowed the pace of outflows.
Global Factors and Their Influence
Global economic developments continue to influence Indian equity movements. The tariff standoff between the U.S. and China has heightened volatility across financial markets. Investors remain cautious amid fears of inflation, supply chain disruptions, and weakened global demand.
While President Trump’s softer stance toward Japan created some breathing room, uncertainty surrounding further retaliatory tariffs lingers. Indian markets will likely continue responding to global headlines over the next few sessions.
Outlook for the Rest of the Week
Market experts believe Tuesday’s recovery signals a technical bounce-back rather than a trend reversal. Traders expect the Nifty 50 to face resistance near the 22,650–22,700 zone, while support exists around 22,100. Momentum could remain positive if global cues stay stable and earnings season delivers strong results.
Investors await quarterly results from IT majors like Infosys and TCS later this week. Their commentary on U.S. demand, hiring outlook, and client budgets will provide critical insights into sector performance.
Additionally, macroeconomic data—including industrial production and inflation figures—will influence sentiment. The RBI’s next monetary policy stance will also play a pivotal role, especially in light of rupee weakness and persistent global inflation concerns.
On April 8, 2025, the Indian stock market displayed resilience and bounced back from the previous session’s sell-off. Strong global cues, optimism surrounding trade negotiations, and renewed investor interest in undervalued stocks fueled the rally.
While the day’s performance brought much-needed relief, market participants remain cautious. Continued monitoring of global policy developments, corporate earnings, and domestic macro indicators will shape market movements in the days ahead.
As the Sensex and Nifty recover lost ground, investor focus shifts to sustainability of earnings growth and broader economic stability. The coming weeks will reveal whether the bounce marks the beginning of a bullish phase or simply a temporary recovery in a volatile environment.
