Benchmark stock indices Sensex and Nifty closed higher in a volatile session on Wednesday as India launched missile strikes on terrorist hideouts in Pakistan and Pakistan-Occupied Kashmir.
After gyrating between gains and losses during the day, the 30-share BSE Sensex ended 105.71 points or 0.13 per cent higher at 80,746.78. In intra-day trade, the Sensex hit a high of 80,844.63 and a low of 79,937.48.
The 50-issue Nifty of NSE advanced by 34.80 points or 0.14 per cent to settle at 24,414.40. Nifty moved between a high of 24,449.60 and a low of 24,220 during the session.
In retaliation for the Pahalgam terror attack, Indian armed forces carried out missile strikes early Wednesday on nine terror targets in Pakistan and Pakistan-Occupied Kashmir including the Jaish-e-Mohammad stronghold of Bahawalpur and Lashkar-e-Taiba's base Muridke.
The military strikes were carried out under 'Operation Sindoor' two weeks after the massacre of 26 civilians in Jammu and Kashmir's Pahalgam.
"Even as the country is in the middle of a military action against terrorist network across the border, markets witnessed gyration during intra-day trade but eventually managed to shrug off the uncertainty to end slightly higher. While the mood will be of caution due to Indo-Pak war tension, markets could witness choppy sessions with stock-specific activity over next few days," Prashanth Tapse, Senior VP (Research), Mehta Equities Ltd, said.
From the 30-share Sensex firms, Tata Motors, Bajaj Finance, Eternal, Adani Ports, Tata Steel, Titan, Mahindra & Mahindra and Power Grid were among the gainers.
Asian Paints, Sun Pharma, ITC, Nestle, Reliance Industries and HCL Tech were among the laggards.
Foreign Institutional Investors (FIIs) bought equities worth Rs 3,794.52 crore on Tuesday, according to exchange data.
"Geopolitical tensions like the ongoing Indo-Pak standoff under 'Operation Sindoor' tend to cause immediate market volatility. While short-term caution is reasonable, history shows that Indian markets demonstrate strong resilience once clarity returns. Unless accompanied by broader economic or global shocks, Indo-Pak tensions have not had a lasting negative impact. Investors should focus on fundamentals, not fear," said Pankaj Singh, small case manager and Founder and Principle Researcher at SmartWealth.ai.
In Asian markets, South Korea's Kospi, Shanghai's SSE Composite index and Hong Kong's Hang Seng settled in the positive territory, while Japan's Nikkei 225 ended lower.
Markets in Europe were quoting in the negative territory. US markets ended lower on Tuesday.
India and the UK on Tuesday sealed a landmark free trade agreement that will lower tariffs on 99 per cent Indian exports and will make it easier for British firms to export whisky, cars, and other products to India besides boosting the overall trade basket.
Global oil benchmark Brent crude climbed 0.64 per cent to USD 62.55 a barrel.
Snapping its two days of gains, the BSE benchmark declined 155.77 points or 0.19 per cent to settle at 80,641.07 on Tuesday. The Nifty dipped 81.55 points or 0.33 per cent to 24,379.60.
