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22 Mar 2026
Indian equity benchmarks extended their rally for a third straight session on Wednesday, supported by strong buying in IT
Why Is Indian Market Rising Today? Indian equity benchmarks extended their rally for a third straight session on Wednesday, supported by strong buying in IT stocks and positive global cues.
At around 11 am, the Sensex climbed 630 points, or 0.83%, to 76,701.13, while the Nifty50 rose 190.55 points, or 0.81%, to 23,771.70.
Among the top gainers on the Nifty50 were Tech Mahindra, HCL Technologies, and TCS, which surged up to 4%. On the downside, Coal India and HDFC Bank declined up to 2%. Market breadth remained strong, with 2,801 stocks advancing, 746 declining, and 150 unchanged.
Most sectoral indices traded in the green, barring metals. The Nifty Midcap 100 and Smallcap 100 indices gained 1.5% and 1.3%, respectively.
IT stocks lead the charge
The rally was largely driven by renewed buying in IT stocks, as investors stepped in after the recent correction. The Nifty IT index rose 2.5%, snapping a six-session losing streak, with several frontline stocks gaining over 3%.
Sentiment improved after brokerage CLSA downplayed concerns around disruption from emerging AI tools, easing pressure on the sector.
Oil stability supports sentiment
Crude oil prices also lent support to markets. Brent crude slipped 1.46% to $101.9 per barrel after Iraq and Kurdish authorities reached an agreement to resume exports via Turkey.
Analysts noted that oil prices holding near the $100–$102 range, instead of surging past $120, helped ease market concerns.
Global markets provide tailwinds
Positive global cues further buoyed sentiment. South Korea’s Kospi surged nearly 4%, while Japan’s Nikkei 225 rose over 2%. US markets had also ended higher in the previous session, supporting risk appetite.
Value buying after recent correction
The ongoing recovery is also being attributed to value buying at lower levels. Both Sensex and Nifty have gained around 2% so far this week, recouping part of the sharp losses seen earlier.
Such buying typically emerges after steep corrections, as investors accumulate fundamentally strong stocks at attractive valuations.
Volatility eases
Market volatility showed signs of cooling, with the India VIX declining 5% to 18.84. A lower VIX reflects improving investor confidence and supports stability in equities.
Cautious optimism amid global risks
Despite the rebound, analysts remain cautious given the evolving geopolitical situation.
Experts note that while markets are currently factoring in limited escalation in the Middle East, any sharp rise in crude oil prices towards $120–$130 per barrel could trigger renewed selling pressure.
Technical view: Key levels to watch
According to analysts, the Nifty has sustained its upward momentum after crossing the 23,600 mark.
The 23,700 zone may act as an immediate hurdle, and a decisive move above this level could open the path towards 23,990. On the downside, 23,550 remains a crucial support, with a breach potentially dragging the index towards the 23,300–23,130 range, though a sharp correction appears unlikely for now.
