At 09:30 IST, the barometer index, the S&P BSE Sensex, jumped 1,902.23 points or 2.37% to 81,341.15. The Nifty 50 index gained 581.35 points or 2.42% to 24,585.90.

The broader market outperformed the frontline indices. The S&P BSE Mid-Cap index advanced 2.55% and the S&P BSE Small-Cap index gained 3.28%.

The market breadth was strong. On the BSE, 2,846 shares rose and 262 shares fell. A total of 104 shares were unchanged.

Foreign portfolio investors (FPIs) sold shares worth 3,798.71 crore, while domestic institutional investors (DIIs) were net buyers to the tune of Rs 7,277.74 crore in the Indian equity market on 9 May 2025, provisional data showed.

India and Pakistan ceasefire:

Tensions between India and Pakistan took a much-needed breather over the weekend as both nations agreed to a ceasefire following days of escalating conflict—the worst the region has seen in nearly three decades. The truce came after a dramatic round of late-night diplomacy led by the United States.

"After a long night of talks mediated by the United States, I am pleased to announce that India and Pakistan have agreed to a FULL AND IMMEDIATE CEASEFIRE," President Donald Trump declared on Saturday.

The ceasefire, while fragile, appeared to be holding steady over the last 24 hours. However, both sides traded accusations of minor violations.

Economy:

India's forex reserves dropped $2.065 billion to $686.064 billion for the week ended May 2, the RBI said on Friday.

For the week ended May 2, foreign currency assets, a major component of the reserves, increased $514 million to $581.177 billion, the data released on Friday showed.

Gold reserves decreased $2.545 million to $81.82 billion during the week, the RBI said.

The special drawing rights were down $30 million to $18.558 billion, the apex bank said.

India's reserve position with the IMF was also down $3 million at $4.509 billion in the reporting week, the apex bank data showed.

Stocks in Spotlight:

Swiggy shed 0.43%. The company reported a net loss of Rs 1,081.18 crore for the quarter ended March 2025 (Q4 FY25), nearly doubling from Rs 554.77 crore in the same quarter last year. Revenue from operations rose 44.8% year-on-year to Rs 4,410.02 crore in Q4FY25.

Reliance Power surged 8.77% after the company reported a consolidated net profit of Rs 125.60 crore for Q4 FY25, marking a significant turnaround from a net loss of Rs 397.56 crore in Q4 FY24. Revenue from operations grew by 0.93%, reaching Rs 1,978.01 crore compared to Rs 1,996.65 crore in the previous year.

Relaxo Footwear rose 2.50%. The company’s consolidated net profit fell 8.4% to Rs 56.22 crore in Q4 FY25 as compared with Rs 61.39 crore in Q4 FY24. Revenue from operations fell 7.1% to Rs 695.15 crore in the quarter ended 31st March 2025.

Numbers to Track:

MCX Gold futures for the 5 June 2025 settlement slipped 2.43% to Rs 94,185.

The US Dollar index (DXY), which tracks the greenback's value against a basket of currencies, was up 0.22% to 100.55.

The United States 10-year bond yield rose 0.64% to 4.403.

In the commodities market, Brent crude for July 2025 settlement rose 34 cents or 0.53% to $64.24 a barrel.

Global Markets:

The US Dow Jones index futures were currently up by 449 points, signaling a strong opening for US stocks today.

Asian stocks kicked off the week on a high note, buoyed by fresh optimism that the long-standing U.S.-China trade tensions might finally be easing. Over the weekend, top officials from both countries huddled in Switzerland for high-stakes talks, and early signals suggest progress.

Both Washington and Beijing struck a hopeful tone. U.S. officials hinted at a potential deal to narrow the trade deficit, while Chinese leaders said the two sides had reached an "important consensus"—diplomatic speak for “things went better than expected.”

U.S. Treasury Secretary Scott Bessent called the discussions "a great deal of productivity," and Chinese Vice Premier He Lifeng added that a joint statement—one packed with "good news for the world"—was slated for release on Monday.

This diplomatic thaw follows a red-ink Friday on Wall Street, where the Dow shed 0.29%, the S&P 500 dipped 0.07%, and the Nasdaq barely moved, closing flat at 17,928.92.

Back in D.C., President Trump made headlines of his own. On Sunday, he announced plans to sign what he described as “one of the most consequential executive orders in our country’s history.” The executive order, expected at 9:00 a.m. Monday, aims to slash prescription drug prices by as much as 80%. Trump added that pharma prices could “rise throughout the world” as part of his plan to level the playing field for American consumers.