Sensex News and Nifty News: Markets Soar on India-Pakistan Ceasefire and US-China Tariff Truce

Market Performance

Indian stock markets witnessed a historic rally on May 12, 2025, with benchmark indices recording their best day in absolute terms and the most substantial gain since February 2021 in percentage terms.

• Sensex surged 2,975.43 points or 3.74% to close at 82,429.90
• Nifty 50 jumped 916.70 points or 3.82%, ending at 24,924.70
• BSE Midcap Index rose 3.8%
• BSE Smallcap Index gained 4%
• Over ₹16 lakh crore added to investor wealth
• Market capitalisation of BSE-listed companies rose to ₹432.55 lakh crore
• Indices hit their highest closing levels of 2025, marking a seven-month high

This sharp upswing came after positive geopolitical and economic developments that uplifted overall market sentiment.

Main News

Two significant global developments drove the sharp rally:

1. Ceasefire Agreement between India and Pakistan
2. The announcement to halt all military actions across land, air, and sea significantly eased geopolitical tensions.
3. US-China Tariff Reduction
4. Both nations agreed to suspend most tariffs and reduce reciprocal tariffs from 125% to 10%, creating optimism for global trade and economic recovery.

These developments reignited investor confidence, resulting in a widespread risk-on rally across sectors and market segments.

Company and Sector Highlights

All 13 sectoral indices closed in the green, led by strong gains in technology, real estate, and power stocks.

Top Gainers:

• Infosys: ₹1,626.90, up 7.91%
• Adani Enterprises, Shriram Finance, Trent, and HCL Tech also posted substantial gains.

Noteworthy Sector Moves:

• Nifty IT surged 6.70%, its best intraday performance in five years
• Real estate, Power, and Energy sectors gained between 4% and 6%
• Auto, Banks, FMCG, Oil & Gas, and Telecom added 2% - 3.8%

Other Stock Highlights:

• Reliance Power soared 11% after reporting profitability and winning new energy projects
• Apollo Pipes rose 3% on strong Q4 earnings
• Birla Corporation jumped 20% after a 32% YoY profit growth
• Yes Bank added 2.4% following the news of SMBC acquiring a 20% stake

Over 100 BSE-listed stocks hit 52-week highs, including ICICI Bank, Aster DM Healthcare, Redington, and Navin Fluorine.

Summary of the Article

The Indian stock market celebrated a massive rally driven by easing geopolitical tensions between India and Pakistan and a breakthrough in US-China trade relations. The Sensex and Nifty posted their most significant one-day gains over four years, powered by widespread sectoral participation and renewed investor confidence.

This Sensex news and Nifty news update highlights how diplomatic progress and global economic relief can ignite market momentum, reinforcing India’s resilience on the international financial stage.