Sensex Soars Over 1,100 Points in Early Trade, Investors Gain ₹5 Lakh Crore in 10 Minutes

The Indian stock market witnessed a spectacular rally on Monday, August 18, 2025, as the Sensex jumped over 1,100 points within the first 10–20 minutes of opening trade. This rapid surge added a massive ₹5.56 lakh crore to investors’ wealth in just 10 minutes—one of the sharpest gains in recent memory.

Key Reasons Behind the Rally

Trump-Putin Meeting and Global Tensions Easing:
The recent meeting between US President Donald Trump and Russian President Vladimir Putin in Alaska generated hopes of a thaw in the Ukraine crisis. Trump’s statements favoring peace talks over continued war, along with signals of less aggressive US tariffs for now, reduced global uncertainty. This uplifted global and Indian market sentiments.

Softening Oil Prices:
Global oil prices dropped slightly because the US refrained from imposing new strict sanctions on Russian oil after the summit. Trump also delayed any potential tariff hikes on countries like China. Lower oil prices help India’s economy by reducing import costs and inflationary pressures.

Major GST Reform in India:
The Indian government’s recent announcement of key tax reforms further boosted market optimism. Plans include reducing GST on small cars from 28% to 18% and a broader consumption tax cut, as revealed by PM Narendra Modi. These steps are expected to boost consumer demand, especially for automobiles.

Market Highlights

• Opening Surge:
  Sensex opened with a 900+ point jump and quickly shot up past 1,100 points, trading at 81,538.76 at 9:25 am.

• Nifty 50:
  Nifty also rallied, reaching 24,950—a gain of 320 points.

• Investor Gains:
  Market capitalization of BSE-listed companies increased by approximately ₹5.56 lakh crore within minutes.

• Sectoral Trends:

  • Top Gainers: Maruti (up 8%), Bajaj Finance, and other auto shares soared on hopes for lower GST and greater demand.

  • Top Losers: Despite the rally, ITC, Larsen & Toubro (LT), and Sun Pharma saw declines.

Recent Market Trend

Despite previous market volatility amid global tensions, this robust opening rally marks a strong reversal, fueled by a combination of favourable international developments and pro-growth domestic reforms.