The S&P BSE Sensex soared 576.51 points or 0.77% to 75,759.87 and the NSE Nifty 50 jumped 168.70 points or 0.71% to 23,823.40 at 1:10 PM on Friday, May 22, according to latest market data. The Indian benchmark indices traded in the green zone during afternoon session after opening flat with a positive bias in the morning, bolstered by buying in private bank and financial services stocks. A decline in crude oil prices, easing geopolitical tensions, and an appreciation in the rupee led to the surge in the market. The BSE 150 MidCap Index rose 0.16% and the BSE 250 SmallCap Index jumped 0.69%, with the broader market outperforming the frontline indices. Market breadth remained strong with 2,389 shares rising and 1,628 shares falling on the BSE, while 212 shares remained unchanged.
Bank stocks experienced a dramatic surge following reports that the Reserve Bank of India is not planning interest rate hikes to counter the rupee's decline. According to The Economic Times, Nifty Bank jumped around 650 points as private heavyweights Axis Bank, ICICI Bank, and HDFC Bank jumped up to 2% in early trading. The RBI is reportedly focusing on inflation as the primary driver for its monetary policy decisions, with inflation remaining subdued and not the currency that will guide RBI's policy on rate hikes. As per Reuters, the central bank has other levers to deploy and the options are being considered in coordination with the government. This comes as the rupee dropped around 6% since the beginning of the Iran-US war in late February, tumbling to a record low near 97 per dollar on Thursday. The domestic currency rose above the 96-per-dollar mark in intraday trade on Friday, 22 May, due to possible intervention by the Reserve Bank of India.
Varun Beverages shares gained as much as 3.88% to hit a 52-week high of ₹540 after global brand PepsiCo extended the company's contract term to April 30, 2049, from its earlier expiry of April 30, 2039. PepsiCo also lifted earlier restrictions, now allowing Varun Beverages to carry out any activity other than special bottling operations. Honasa Consumer, the parent company of Mamaearth, rallied nearly 12% to hit a 52-week high of ₹402.80 after announcing all-around strong growth in Q4 FY26. The company witnessed its highest-ever revenue of ₹682 crore, up 28% YoY, along with highest-ever EBITDA of ₹77 crore, up 185% YoY. LIC shares rose after the company's earnings for Q4 FY26 were above street estimates, with standalone net profit jumping 23.18% to ₹23,420.43 crore and total income advancing 13.81% to ₹2,53,591.83 crore. Among major gainers, Grasim Industries surged 5.52%, InterGlobe Aviation rose 3.97%, Apollo Hospitals Enterprise gained 3.01%, Bajaj Auto climbed 2.34%, and HDFC Life Insurance Company advanced 1.76%.
Honeywell Automation India surged 17.26% after the company reported a 14.15% increase in standalone net profit to ₹159.7 crore in Q4 FY26, compared with ₹139.9 crore in Q4 FY25. Metro Brands jumped 4.55% after the company's consolidated net profit jumped 23.48% to ₹117.73 crore on a 20.26% increase in revenue from operations to ₹772.98 crore in Q4 FY26 over Q4 FY5. Samvardhana Motherson International advanced 2.83% after the company reported a 46.24% year-on-year surge in consolidated net profit to ₹1,497.14 crore in Q4 FY26, compared with ₹1,023.70 crore in the corresponding quarter last year. However, Ola Electric Mobility dropped 4.36% after the company posted a consolidated net loss of ₹500 crore in Q4 FY26 compared with a net loss of ₹870 crore in Q4 FY5, despite improvement in gross margins and operating efficiency. Lenskart Solutions gained 2.74% after the company reported an 8.49% year-on-year decline in consolidated net profit to ₹200.29 crore in Q4 FY26, but revenue from operations surged 46.62% YoY to ₹2,515.71 crore.
IndusInd Bank Ltd soared 1.13% to ₹910.1 on Friday, marking its fifth consecutive session of gains. The stock has risen 5.78% in the last one month and is up 14.71% in the last one year, significantly outperforming the Nifty Bank's 2.46% decline over the same period. The benchmark May futures contract for IndusInd Bank is quoting at ₹914, up 1.47% on the day. However, trading volume was 5.66 lakh shares compared to the daily average of 26.47 lakh shares in the last one month, indicating reduced participation despite the price gains. The PE ratio stands at 75.1 based on trailing twelve months earnings ending March 2026, reflecting the premium valuation of the stock in the current market conditions.
