Sensex crosses 75,000+, Nifty nears 22,800 – led by pharma, metals & global cues
On April 11, 2025, the Indian stock market experienced a significant rally, with both the BSE Sensex and the Nifty 50 indices recording substantial gains. The Sensex surged over 1,300 points, surpassing the 75,000 mark, while the Nifty 50 climbed more than 400 points, nearing 22,800. This upward movement was primarily driven by positive global cues and value buying across various sectors.
Market Performance
The BSE Sensex opened at 74,874, marking an increase of 1,027 points or 1.39%. Throughout the trading session, it continued to ascend, reaching an intraday high of 75,230. Similarly, the Nifty 50 commenced the day at 22,744, up by 345 points or 1.54%, and maintained its upward trajectory.
In the broader markets, the Nifty Midcap 100 outperformed the benchmark indices, starting the session 954 points or 1.92% higher at 50,535. All sectoral indices traded in the green, with notable performances in the Nifty Metal, Consumer Durables, Pharma, and Auto sectors. The Nifty Metal index, in particular, gained significantly, reflecting increased investor interest in metal stocks.
Key Drivers of the Rally
The primary catalyst for the market’s robust performance was the announcement by U.S. President Donald Trump to suspend additional tariffs on India until July 9. This decision alleviated concerns regarding trade tensions and provided a boost to investor sentiment.
Additionally, the U.S. imposed a 145% tariff on Chinese goods, escalating trade tensions between the two largest economies. This development led to a global shift in investment flows, with India emerging as a favorable destination due to its relatively stable economic environment.
Sectoral Highlights
Pharmaceuticals: The Nifty Pharma index surged by up to 3.55%, driven by positive developments such as Cipla receiving approval from the U.S. Food and Drug Administration (USFDA) for its cancer treatment drug, Paclitaxel.
Metals: The Nifty Metal index recorded substantial gains, with companies like Tata Steel and Hindalco leading the charge. This surge was attributed to the weaker dollar and the suspension of tariffs, which enhanced the competitiveness of Indian metal exports.
Real Estate: The BSE Realty index advanced by 1%, with stocks such as Anant Raj and Oberoi Realty rising between 2-5%. This uptick was fueled by renewed investor interest and favorable market conditions.
Investor Sentiment
Market analysts expressed optimism regarding India’s economic resilience amid global uncertainties. Dr. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, highlighted that India’s stable macros and fair large-cap valuations position it favorably in the current environment. He suggested that long-term investors consider selective buying in high-quality large-cap stocks, particularly in the financial and pharmaceutical sectors.
Global Context
While Indian markets experienced a rally, other Asian markets faced declines due to escalating U.S.-China trade tensions. Japan’s Nikkei 225, for instance, plunged over 5%, reflecting investor concerns over the intensifying trade war.
In contrast, India’s markets benefited from the tariff suspension and were viewed as a relatively insulated and attractive investment destination. The rupee also strengthened amid a slumping dollar, further bolstering investor confidence.
The Indian stock market’s performance on April 11, 2025, underscores its resilience and attractiveness amid global trade tensions. The suspension of U.S. tariffs, coupled with strong performances in key sectors like pharmaceuticals and metals, contributed to the market’s upward trajectory. Investors are advised to remain vigilant and consider sector-specific opportunities while being mindful of ongoing global developments that may impact market dynamics.
