Sensex surges 1,300 points as FII inflows, oil prices boost sentiment

Indian equities traded firmly higher on Tuesday as a combination of supportive factors propelled the benchmark indices to significant gains. The Sensex rose over 1,300 points during the session, reflecting broad-based investor optimism across the market.

Foreign institutional investors maintained their buying momentum, continuing a strong streak of inflows over recent sessions. Market observers attributed the sustained FII participation to improving economic conditions and attractive valuations in Indian equities compared to other emerging markets.

Corporate earnings that exceeded analyst expectations also bolstered investor confidence. Several major companies reported results that surpassed consensus estimates, signalling resilience in corporate profitability despite macroeconomic headwinds.

Crude oil price movements provided an additional tailwind for the market. Moderating energy costs have eased inflationary pressures and raised expectations for improved corporate margins, particularly in sectors sensitive to fuel costs.

Market participants indicated that the convergence of positive factors—sustained foreign capital inflows, solid earnings performance, and benign oil price movements—created a conducive environment for equity gains. Analysts suggested that this momentum could persist if foreign investment flows remain steady and companies continue to deliver earnings surprises.