Mumbai, Oct 27 (IANS) Indian stock markets started the week on a positive note on Monday, recovering after a brief pause in the previous session.

Investors turned optimistic as hopes grew for a potential trade deal between the United States and China.

The Sensex climbed 566.96 points, or 0.67 per cent, to close at 84,778.84, while the Nifty gained 170.9 points, or 0.67 per cent, to settle at 25,966.05.

“The Nifty started on a strong note and remained mostly sideways throughout the day ahead of the NSE F&O expiry. Sentiment continues to remain strong as the index sustains above the breakout point,” analysts said.

“On the lower end, support is placed at 25,700, below which weakness might emerge. On the higher end, resistance is seen at 26,000; a decisive move or close above this level could trigger a rally towards 26,500 in the short term,” they added.

The rally came after US Treasury Secretary Scott Bessen said on Sunday that President Trump’s proposed 100 per cent tariffs on Chinese goods were “off the table.”

He added that China is likely to increase its soybean imports and delay restrictions on rare earth exports — a move that further boosted global market confidence.

Softer-than-expected inflation data from the US also lifted sentiment, with markets now expecting two more interest rate cuts in 2025.

Among major gainers on the Sensex were Bharti Airtel, State Bank of India and Eternal, each rising more than 2 per cent.

On the other hand, Kotak Mahindra Bank, Bharat Electronics, Infosys, Bajaj Finance, and others were among the top laggards of the day.

Broader markets also moved higher, with the Nifty MidCap index rising 0.93 per cent and the Nifty SmallCap index gaining 0.82 per cent.

Sector-wise, PSU Bank, Realty, Metal, and Oil & Gas indices advanced over 1 per cent each, while Media and Pharma stocks saw some profit booking.

–IANS

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