Indian equity markets staged a strong recovery on Tuesday after opening in negative territory. The Sensex began the session 141 points lower, while the Nifty declined 72 points amid cautious investor sentiment. However, both benchmarks recovered during the trading day and ended higher.
At the close, the Sensex gained 286 points, while the Nifty climbed 115 points, reflecting improved buying interest across the market. Investors continued to monitor global economic developments, currency movements, precious metals and geopolitical risks.
The Indian rupee opened largely unchanged against the US dollar at Rs 95.72, compared with Monday’s closing level of Rs 95.74. Meanwhile, gold futures traded at a three-month high of around $4,714.19 an ounce, highlighting continued demand for safe-haven assets.
Silver remained another major focus for investors after recording a strong rally in August. Ross Maxwell, Global Strategy Operations Lead at VT Markets, attributed the surge to expectations of lower interest rates, a weaker dollar, inflation concerns and rising government debt. Strong industrial demand from renewable energy, electronics and technology sectors has also supported silver prices.
However, Maxwell cautioned investors against chasing the sharp rally, noting that silver is more volatile than gold. He suggested gradual investment rather than buying heavily after a steep price rise.
Bitcoin also crossed $80,000 for the first time since May. Rajagopal Menon of WazirX said improving sentiment, a softer dollar and concerns over US fiscal conditions could support digital assets. However, geopolitical developments, particularly those involving Iran, remain a potential risk for global markets.