India’s BSE Sensex closed roughly 1% firmer at 79,273 on Tuesday, the highest in over six weeks, driven by earnings optimism and prospects of a resumption of US-Iran talks. The US expressed cautious optimism that peace talks would take place in Pakistan this week, and reports emerged that Tehran was considering joining, as the ceasefire deadline is looming. Most sectors recorded gains, particularly financials and FMGC stocks, driven by strong earnings. ICICI Bank advanced 2.4% after solid quarterly results over the weekend and a broker upgrade, with HDFC Bank also rising around 2%. Moreover, the Reserve Bank of India partially rolled back early-April curbs introduced when the rupee hit record lows, easing concerns that limits on hedging could hurt bank activity. FMCG stocks also advanced firmly, lifted by stronger-than-expected results from Nestle India. Hindustan Unilever surged 3.1%, also boosted by a target price hike from ICICI Securities, while ITC rose 1.3% and TCS up 1.2%.
