The Indian stock market extended its gains for a second consecutive week, with both benchmark indices rising around 1.7% in the week ended June 19, 2026. According to latest market data, the NIFTY50 surged 1.65% during the week to reach 24,013, while the BSE SENSEX gained 1.69% to close at 76,802. However, Friday's session saw some volatility with the SENSEX falling 607 points to 76,802 and the NIFTY dropping 0.64% to 24,013, largely dragged by a sharp sell-off in IT stocks after recent three sessions of benchmark gains. The rally was supported by positive sentiment across equities as crude oil prices eased and global markets strengthened following a US-Iran peace agreement. As per Business Standard, the BSE benchmark Sensex jumped 1,274.95 points, or 1.68% last week, extending the recovery momentum.
On Sunday, US President Donald Trump declared that a peace deal with Iran had been completed and said he was authorising the reopening of the Strait of Hormuz and the removal of a US naval blockade. The announcement followed months of conflict that began on February 28 when Israel, along with the United States, launched military operations against Iran. During the week, a 14-point US-Iran MoU was signed that included the reopening of the Strait of Hormuz, removal of the naval blockade and restoration of commercial shipping. However, markets declined on Friday, with investor sentiment weighed down by uncertainty surrounding the postponement of talks to finalise the US-Iran deal in Switzerland. According to Business Standard, technical-level talks will be held in Burgenstock, Switzerland, on Sunday between the US and Iran, with US Vice President JD Vance initially supposed to hold talks with senior Iranian officials on Friday, but his Iranian counterparts cancelled their plans due to escalating fighting between Israel and Iranian-backed Hezbollah in Lebanon.
A five-day market rally has made equity investors richer by ₹25.27 lakh crore, buoyed by easing geopolitical concerns amid a drop in crude oil prices and a peace deal between the US and Iran. According to market data, the market capitalisation of BSE-listed companies surged by ₹25,27,159.17 crore to ₹4,77,60,939.62 crore ($5.07 trillion) in five sessions. The market cap of BSE-listed companies regained the $5-trillion milestone on Wednesday, with NSE-listed companies' mcap standing at ₹477.25 lakh crore on Friday. The rupee strengthened by roughly 79 paise during the week to around 94.35 per dollar, with the improved geopolitical backdrop expected to lend support to market sentiment next week. As per Business Standard, crude oil prices will remain a key variable, with continued stability supporting India's macroeconomic outlook, while any deterioration in Middle East relations could reignite volatility.
Trent emerged as the top NIFTY50 gainer with a 16.4% surge, followed by Eternal at 8.4% and Max Healthcare Institute at 8.1%. However, IT emerged as the biggest laggard, with the Nifty IT index plunging 6.5% after Accenture lowered its FY26 constant-currency revenue growth guidance and issued a weaker-than-expected outlook. Tata Motors PV declined 7.8% after the carmaker shared its FY27 outlook indicating an EBIT margin of around 4% compared with over 0% in FY26. Infosys fell 5.8% as investors' confidence was dented after Accenture lowered revenue guidance for the financial year ending 2026-27. Tata Consultancy Services dropped 1.7% and Tech Mahindra declined 1.4%. The worst-performing sectoral indicator was the Nifty IT index, which fell 4% following Accenture's reduction in its sales growth forecast.
Among sectors, the Nifty India Defence index was the biggest gainer, jumping 6.6%, followed by Nifty Consumer Durables, which rose 6.4%. The rally in defence stocks followed media reports suggesting that India is close to finalising a deal with Vietnam for the sale of BrahMos supersonic cruise missiles. Bharat Dynamics shares surged 14.4% amid a broader rally in defence stocks, following India's defence production reaching a record high of ₹1.78 lakh crore in 2025–26. Consumer durables, real estate, pharma and defence were notable gainers during the week. The Nifty Midcap 100 gained 2.62% while the Nifty Smallcap 100 surged 3.23% during the week, with broad market indices outperforming benchmark indices. Brent crude, which dipped below the $80 per barrel level on hopes of a potential US-Iran peace agreement, saw a sudden halt in price decline after abrupt cancellations of peace talks and profit booking toward the close of the week. As per Business Standard, markets would also track the monsoon trajectory in the country, with a wait-and-watch stance likely to prevail even as the underlying bias turns incrementally positive.
