Bulls Charge Back on Dalal Street: Nifty Reclaims 24,000 as RBI and Crude Oil Provide Tailwinds

Market Snapshot

The Indian benchmark indices witnessed a robust rebound on June 24, 2026, effectively erasing the steep losses from the previous session. The BSE Sensex surged 790.54 points, or 1.04%, to settle at 76,991.22, while the NSE Nifty 50 climbed 197.55 points, or 0.83%, to end at 24,021.65. The rally was broad-based, though large-cap banking and IT shares were the primary engines of growth.

• Nifty 50: 24,021.65 (+0.83%)
• BSE Sensex: 76,991.22 (+1.04%)
• Nifty Bank: 58,150.35 (+1.69%)
• India VIX: 13.33 (-4.38%)

Institutional Flows: Cash Market

Institutional participation remained positive for the third consecutive session, providing a stable floor for the market's recovery. Domestic institutions continued their consistent support, while foreign investors maintained a cautious but positive stance.

• Foreign Institutional Investors (FII): Net buyers of ₹17.90 crore.
• Domestic Institutional Investors (DII): Net buyers of ₹680.20 crore.

The marginal net buying by FIIs marks a significant tapering of the aggressive sell-off seen earlier in the year, signaling improving confidence in India's macro stability amidst cooling inflation.

Derivatives Market Activity

The derivatives segment was dominated by intense short-covering, particularly in the banking sector, as traders adjusted positions following a period of high volatility.

• Bank Nifty Expiry: Short-covering propelled the index by nearly 1,000 points, with private lenders like ICICI Bank and HDFC Bank seeing significant long build-up.
• Index Futures: FIIs reduced their net short positions in index futures, reflecting a shift from a defensive hedge to a more neutral-to-bullish outlook.
• Options Sentiment: The Put-Call Ratio (PCR) improved as writers were active at the 24,000 Nifty put strikes, suggesting strong immediate support at this psychological level.

Key Drivers and Outlook

Several factors converged to drive the Wednesday rally, ranging from domestic policy signals to global commodity shifts.

• Dovish RBI Commentary: RBI Governor Sanjay Malhotra’s remarks calling further rate hikes "premature" significantly eased liquidity and interest rate concerns.
• Crude Oil Slide: Brent crude prices dropped below the $77 per barrel mark, providing relief to India’s trade deficit and improving the outlook for energy-sensitive sectors.
• Trade Deal Optimism: Reports of an imminent India-US trade deal boosted sentiment across the IT and export-oriented sectors.
• Stock Specific News: InterGlobe Aviation (IndiGo) soared over 5% on positive travel data, while Bajaj Auto faced pressure following reports of a ransomware attack.

Looking ahead, the market will focus on the sustainability of the 24,000 level on Nifty. Technical analysts suggest that as long as the index holds above this mark, the path toward 24,200 remains open. However, global cues and the finalization of international trade pacts will remain the decisive variables for the remainder of the week.

TAGS: FII, DII, Stock Market, Institutional Investors, Nifty, Sensex

Tags: FII DII Stock Market Institutional Investors Nifty Sensex