Stock Market Today: Nifty Nears 25,250, Sensex Surges 700 Points Amid Broad-Based Rally

Mumbai, June 25, 2025 —
Indian benchmark indices continued their upward momentum for the third consecutive session on Tuesday, buoyed by sustained buying across sectors, strong global cues, and optimism around quarterly earnings. The NSE Nifty 50 hovered near the 25,250-mark while the BSE Sensex surged over 700 points, hitting fresh record highs.

At close, the Sensex was up 712.34 points or 0.94% at 76,981.27, while the Nifty 50 advanced 203.85 points or 0.81% to settle at 25,244.10. Broader markets mirrored the rally with the Nifty Midcap 100 and Smallcap 100 rising 0.7% and 1.2%, respectively.

Key Drivers of the Rally

1. Strong Global Cues:
Asian equities tracked overnight gains on Wall Street as investor sentiment improved after a better-than-expected U.S. consumer confidence report and receding inflation fears. Japan’s Nikkei and South Korea’s KOSPI rose over 1%, while Chinese stocks held steady.

2. Domestic Liquidity and Institutional Buying:
Continued buying from domestic institutional investors (DIIs) and mutual funds, buoyed by robust SIP flows and retail participation, lifted the sentiment. Foreign portfolio investors (FPIs) also turned net buyers after a brief pause, purchasing Indian equities worth ₹1,235 crore on Monday.

3. Optimism Ahead of Earnings Season:
Anticipation of strong Q1 FY26 earnings, especially from banking, auto, and IT companies, has fueled investor confidence. The monsoon’s steady progress and early signs of rural demand recovery have also contributed to the optimism.

Sectoral Performance

Banking and Financials:
Bank stocks led the rally with the Nifty Bank rising nearly 1.3%. HDFC Bank (+2.1%), ICICI Bank (+1.7%), and Axis Bank (+1.5%) were among the top gainers amid expectations of healthy credit growth and margin stability.

Auto and FMCG:
Auto stocks continued their winning streak, with Mahindra & Mahindra, Tata Motors, and Maruti Suzuki posting gains between 1.2–2.5%. FMCG stocks also saw renewed buying interest as monsoon rains raised hopes of rural demand recovery. HUL and ITC climbed over 1%.

IT and Pharma:
While the Nifty IT index gained a modest 0.5%, led by Infosys and Tech Mahindra, pharma stocks saw mixed performance. Sun Pharma and Dr. Reddy’s rose, while Cipla and Divi’s Labs ended flat.

Top Gainers and Losers

Expert Views

Anand Rathi, Chief Market Strategist at Nuvama Wealth, said,

“The market is pricing in a soft landing globally, improved macro stability domestically, and strong earnings momentum. The broad-based rally signals that investors are optimistic not only about largecaps but also mid- and smallcaps, which have seen valuation comfort.”

Ruchi Jain, Technical Analyst at 5Paisa, noted,

“The Nifty has now crossed key resistance levels around 25,150 and is eyeing 25,400 next. On the downside, 24,950 will act as strong support. Momentum indicators continue to show strength.”

Global Market Snapshot

• Dow Jones Industrial Average: +0.67%

• Nasdaq Composite: +1.12%

• Hang Seng Index: +0.95%

• Nikkei 225: +1.18%

• Brent Crude: $84.21/barrel (+0.34%)

• US Dollar Index: 105.9 (-0.21%)

Global markets are currently being shaped by expectations of interest rate cuts later in the year by the US Federal Reserve, with inflation data showing signs of moderation.

Rupee and Bond Market Update

The Indian rupee appreciated 10 paise to close at 83.22 against the US dollar as risk appetite returned among foreign investors. Meanwhile, the 10-year benchmark government bond yield remained flat at 7.02%, indicating stability in the debt market.

Investor Outlook

Analysts advise cautious optimism, especially in the small- and mid-cap segments, where valuations have expanded rapidly. While the macro environment remains supportive, upcoming corporate results will be key in determining the next leg of the market’s direction.

What to Watch:

• June F&O expiry on Thursday

• Quarterly earnings from major banks and IT firms next week

• Progress of the monsoon and kharif sowing data

• Global inflation and US Fed commentary

Long-term investors are advised to use dips as buying opportunities, particularly in banking, infra, and export-oriented sectors.