Sensex, Nifty rise after Trump ceasefire announcement; Kerala stocks gain, but Cochin Shipyard falls

Indian benchmark indices opened with gains on Tuesday after US President Donald Trump announced a 'complete and total' ceasefire between Israel and Iran. Though there were no indications that the unilateral announcement brought an end to the 12-day conflict, it was enough for the markets to look at the positives.

The Nifty 50 surged to its highest level of 2025 so far, hitting 25,262 points during early trading after opening at 25,179. As of 11:28 am, the index was up by 1 per cent. Sensex is trading at 82,865 after gaining 969 points on Tuesday.

Meanwhile, oil prices fell sharply to a one-week low following the ceasefire announcement, offering much-needed relief for India, which relies heavily on imports to meet its energy needs. Brent crude declined by 2.62 per cent to $69.61 per barrel as of 10:45 am, while US West Texas Intermediate (WTI) crude dropped to $66.66 per barrel.

Shares of Indian oil companies gained in early trade. Hindustan Petroleum Corporation Ltd (HPCL) rose by 2.95 per cent, while Indian Oil Corporation (IOC) and Bharat Petroleum Corporation Ltd (BPCL) also advanced by more than 2 per cent.

Defence stocks, which had rallied amid heightened tensions between Iran and Israel, declined after markets opened on Tuesday. Shares of Cochin Shipyard, Bharat Electronics Ltd (BEL), and Bharat Dynamics were all trading in the red during the early hours.

The Indian rupee also strengthened, rising to ₹86.10 against the US dollar, supported by the ceasefire announcement and positive sentiment in domestic equity markets. Indian government bonds saw gains as well, reflecting improved investor confidence.

The shares of Adani Ports and Special Economic Zone, which owns and operates the Haifa port in Israel, also rose. 

Cochin Shipyard falls, other Kerala companies gain
Shares of Cochin Shipyard fell by 2.3 per cent to ₹2,179. The decline comes after a strong rally last week, during which the stock hit a high of ₹2,239 amid rising defence sector demand.

Muthoot Finance, another major Kerala-based company, was also trading in the red, slipping by 2 per cent after the market opened.

Kitex Garments surged by 4.98 per cent to ₹264.2 amid optimism that easing geopolitical tensions could boost export prospects for the textile major.

In the financial sector, all major Kerala-based banks were trading in the green. South Indian Bank rose by 2.64 per cent, Dhanlaxmi Bank gained 1.82 per cent, CSB Bank added 1.57 per cent, and Federal Bank advanced by 1 per cent.

Among other notable Kerala companies, Kalyan Jewellers was trading at ₹521.2 after a 1.04 per cent rise. Cochin Minerals gained 2.33 per cent, while Aspinwall and Co saw a strong rally, with shares rising over 8 per cent.