Sensex Nifty India-US trade deal optimism powered a strong opening for Indian equity markets on Monday, February 9, as investors reacted positively to the interim trade framework announced between New Delhi and Washington last week. Tracking upbeat global cues and easing trade tensions, domestic benchmarks surged in early trade, reflecting improved risk appetite across markets.
The BSE Sensex jumped nearly 600 points to trade at 84,177, while the NSE Nifty 50 advanced about 150 points to hover around the 25,800 mark. Gains were broad-based as investors weighed the potential economic benefits of reduced tariffs and stronger bilateral cooperation between the two countries.
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India-US Trade Framework Boosts Investor Confidence
Market sentiment remained upbeat following the release of the interim India–US trade deal framework on Saturday. The agreement outlines measures to lower trade barriers, enhance energy cooperation, and deepen overall economic ties as both nations seek to realign global supply chains.
Under the proposed arrangement, the United States is set to cut tariffs on key Indian exports including textiles and apparel, leather, and footwear to 18%. In return, India is expected to reduce or eliminate duties on all US industrial goods and lower tariffs on a broad range of American agricultural and food products.
Investors see the framework as a step toward long-term trade stability, with potential benefits for export-oriented sectors and manufacturing-linked industries.
Rupee Edges Lower in Early Trade
Despite the positive equity momentum, the Indian rupee weakened marginally in early trade. The currency slipped 2 paise to 90.67 against the US dollar, reflecting cautious positioning amid global currency movements and ongoing geopolitical considerations.
Global Markets and Asian Cues Remain Supportive
Global cues added to the positive domestic mood. Asian equity markets rallied sharply in early trading, led by Japan, after Prime Minister Sanae Takaichi secured a decisive electoral victory. The result boosted confidence in policy continuity and economic stability, lifting regional risk sentiment.
Gold and Silver Extend Rally
Precious metals continued their upward momentum on Monday, supported by strong buying interest. Gold prices rose 1.51% to ₹1,57,693 per 10 grams for 24-karat gold, while silver surged 5.35% to ₹2,63,258 per kilogram. The gains reflect sustained demand for safe-haven assets amid global economic uncertainty.