09.06.202604:36:07UTC+00Sensex Rises on Financials Strength

India’s BSE Sensex climbed about 0.4% to 73,801 in early trade on Tuesday, snapping a two-session losing streak as easing geopolitical tensions and fresh support from the Reserve Bank of India (RBI) lifted risk appetite. Reports that Israel and Iran had halted attacks on each other helped calm fears of a wider regional conflict and pushed crude oil prices lower.

Domestic sentiment was further buoyed after the RBI detailed a new concessional forex swap facility that allows banks to hedge overseas borrowings of at least three years at a lower cost. The move is expected to cut funding expenses and make foreign-currency borrowing more attractive for lenders.

Financials led the gains, with both the banking and financial services indices advancing around 1%. Among key financial stocks, BSE, ICICI Bank, Canara Bank, MCX, and Bajaj Finance rose between 1% and 2.6%, while IDFC and Master Trust jumped 4.1% and 4.7%, respectively. On the downside, NLC declined 3.9% and Infosys slipped 1.2%.