IT Leads Equity Gains; Geopolitical Risks Linger

An end-of-day recap of all that transpired in the Indian markets, highlighting the major price movements and the factors driving them

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India Shares rise

By Dehuti Jani

April 7, 2026 at 11:39 AM IST

Indian equity benchmarks ended higher on Tuesday, extending gains for a second straight session, as strength in IT stocks ahead of quarterly earnings supported the market, even as geopolitical tensions capped upside. The Nifty50 rose 0.68% to 23,123.65, while the BSE Sensex gained 0.69% to 74,616.58, with late-session buying helping indices recover sharply after a weak start. The Sensex rebounded nearly 1,300 points from intraday lows despite concerns around escalating tensions linked to Donald Trump’s stance on Iran and elevated crude oil prices.

Sectorally, IT stocks led the gains, with Wipro, Tata Consultancy Services and HCL Tech among the top performers, while metals also saw buying interest with Hindalco Industries advancing. Broader markets showed mixed trends, with mid-cap indices edging up 0.2% while small-caps slipped 0.1%, indicating selective participation. Among sectors, IT, metals and realty outperformed, whereas PSU banks declined the most after recent gains.

Investors focus now shifts to the upcoming monetary policy decision from the Reserve Bank of India, where the central bank is widely expected to keep rates unchanged. Market participants will closely track policy commentary for cues on the future rate trajectory, especially amid global uncertainty and persistent inflation risks driven by volatile crude prices.

Top Movers of the Day

Alembic Pharmaceuticals rose 4.1% to ₹939.4 after receiving final US FDA approval for its Dapagliflozin Tablets (5mg and 10mg).

Likhitha Infrastructure locked in the 20% upper circuit at ₹210, rebounding 60% from its 52-week low of ₹131.65 hit on 23 March.

Globus Spirit gained 6.6% following the launch of TERAI Tequila.

CreditAccess Grameen rallied around 10% to ₹1,298 after reporting strong FY26 results with complete normalisation of asset quality.

Swan Defence and Heavy Industries hit the 5% upper circuit after announcing details of a fresh order.

Godrej Consumer Products gained 2.4% to ₹1,026 after reporting double-digit sales growth; however, rising input costs linked to geopolitical tensions remain a concern.

NMDC gained 0.5% to ₹81.5 tracking strength in metal stocks; expectations of higher commodity prices supported sentiment.

Jubilant FoodWorks declined 10% to ₹412 as Q4 revenue missed estimates; weak earnings performance triggered sharp selling pressure.

InterGlobe Aviation declined 1% to ₹4,269 amid elevated crude oil prices; rising fuel costs continued to weigh on aviation stocks.

Futures & Options
Nifty April 2026 futures closed at 23,165, trading at a premium of 41.35 points to the spot Nifty 50 close of 23,123.65, indicating a mild bullish bias in the derivatives segment. In the cash market, the index gained 0.68% or 155.40 points, reflecting underlying strength. Volatility softened, with India VIX declining 3.03% to 24.70, suggesting easing near-term market anxiety despite geopolitical overhang. Among stock futures, HDFC Bank, Reliance Industries and Infosys led trading activity, indicating continued participation in heavyweights. The April series is set to expire on 28 April 2026, with positioning expected to remain cautious ahead of key macro triggers and policy developments.

Bonds
India's government bond yields remained largely stable on Tuesday, with a cautious bias as elevated crude oil prices and continued uncertainty around the Middle East conflict weighed on sentiment. The benchmark 6.48% 2035 bond yield eased marginally to 7.0458% from 7.0458% in the previous session, reflecting limited movement as investors stayed on the sidelines. Market participants refrained from taking large positions ahead of the Reserve Bank of India’s monetary policy decision due Wednesday, where the focus will be on policy guidance and inflation outlook amid global volatility.

Forex
Indian rupee closed 0.1% stronger at 93.0075 against the US dollar, its firmest level since mid-March. The gain came as residual arbitrage positions unwound, though traders remained cautious ahead of a US deadline for an Iran deal and the Reserve Bank of India's monetary policy decision. Iran and Israel exchanged attacks on Tuesday as Tehran refused to reopen the Strait of Hormuz or accept a ceasefire deal hours before a deadline set by US President Donald Trump.

Crypto
Crypto markets edged lower on Tuesday as rising geopolitical uncertainty dampened risk appetite ahead of a key US deadline on Iran. Bitcoin slipped below $69,000 after an initial rally faded, as investors turned cautious amid the risk of potential military escalation linked to Donald Trump’s deadline for Iran to reopen the Strait of Hormuz. Ethereum declined 1.5% to $2,103.92, mirroring broader weakness in digital assets as uncertainty overshadowed earlier optimism around a possible 45-day ceasefire. Market sentiment remains fragile, with crypto continuing to trade as a risk asset, reacting closely to global macro and geopolitical developments.

US Stock Futures
US stock futures moved higher on Tuesday, recovering from earlier losses as investors positioned cautiously ahead of a key geopolitical deadline. Futures linked to the S&P 500 rose 0.2%, while Nasdaq-100 futures gained 0.2% and Dow Jones Industrial Average futures added about 99 points, also up 0.2%. The rebound comes even as markets remain on edge over US President Donald Trump’s deadline for Iran to reopen the Strait of Hormuz, a critical global oil route.

US Treasury Notes
Yields on US Treasury showed a mixed but slightly easing trend as investors balanced geopolitical uncertainty with expectations around upcoming economic data. The benchmark 10-year Treasury yield edged lower by around 0.6 basis points to 4.328%, indicating modest demand for safe-haven assets amid lingering tensions. In contrast, the 2-year Treasury yield inched up to 3.851%, reflecting cautious positioning ahead of near-term policy signals and macroeconomic releases.

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