Sensex Jumps 700 Points, Nifty Crosses 25850: 6 Reasons Behind Market Rally

• Indian stock markets saw significant gains on Friday, January 16, with Sensex surging 700 points and Nifty crossing 25,850.
• Strong buying in IT stocks, particularly Infosys, which rose over 5% after better-than-expected results and an increased revenue forecast, fueled the rally.
• Positive global market cues, a fall in crude oil prices, and hopes for an India-US trade deal contributed to investor optimism.
• The India VIX, a volatility index, declined by 1.24%, indicating reduced investor anxiety and strengthening risk-taking sentiment.
• Anticipation of December quarter results from major banking stocks like HDFC Bank and ICICI Bank also led to strong buying in the sector.

Why It Matters: Indian markets surged due to strong IT performance, positive global sentiment, falling oil prices, and banking stock interest.