New Delhi: In April 2025, the BSE Sensex rallied 2,827.32 points, while the NSE Nifty jumped 814.85 points or 3.46 per cent. Last month the benchmark indices recorded second straight monthly gains. The 30-share BSE benchmark gauge Sensex appreciated 4,216.82 points or 5.76 per cent in March 2025, and the broader Nifty surged 1,394.65 points or 6.30 per cent.
The BSE Sensex jumped nearly 4 per cent in amid recent geopolitical concerns, as foreign institutional investors pumped in money to buy the equities in the domestic market. The prediction of an above-normal rainfall and positivity surrounding India-US trade deal also boosted sentiments of the investors.
Factors Driving Indian Stock Market Rally
Experts were of the view that the stock available at lower prices due to the correction in the market also revived the buying activity. Market investors’ wealth rallied by Rs 10.37 lakh crore to Rs 4,23,24,763.25 crore (USD 4.98 trillion).
Markets performed well in April due to reduced tariff risks, hopes of a balanced US-India trade deal, and sustained FII inflows, an expert said.
“The Indian stock market’s resilience and sharp rally in April, despite global concerns and tensions with Pakistan, could be attributed to several supporting factors. The market correction over the past few months helped ease valuations, previously a key concern for investors, thereby reviving buying activity.
“Additionally, the announcement of temporary pause on tariffs by the US along with possible trade negotiations with countries also led to the relief rally. Also, after a prolonged selling by foreign investors, it is being seen that FIIs have turned net buyers of Indian equities in April,” Puneet Singhania, Director at Master Trust Group, was quoted by PTI as saying.
The Reserve Bank of India’s announcement of a 25 basis point rate cut on April 9 and its shift in policy stance from “neutral” to “accommodative” also helped in bolstering the market sentiment, Singhania said.
“The surprising resilience of the market is significant. After the reciprocal tariff tantrums and the heightened tensions between India and Pakistan, Nifty is up in April. This underscores the importance of not panicking during a crisis,” V K Vijayakumar, Chief Investment Strategist, Geojit Investments Limited, said.
Vijayakumar said market investors will keep a close watch on the Indian government’s stance regarding Pakistan post the Pahalgam terror attack.
“Momentum is being capped by rising tensions between India and Pakistan and muted Q4 results. This negative bias is expected to persist in the near term, but the long-term outlook remains positive due to the minimal financial impact from the conflict,” Vinod Nair, Head of Research, Geojit Investments Limited, said.
(With PTI inputs)
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The Indian stock market experienced a significant rally in April 2025, with the Sensex gaining 2827 points and the Nifty climbing 814 points. This surge followed strong performance in March 2025. Markets Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
