Indian Stocks Rise as US Policy Shifts and Chips Funding Boost

Indian equity markets opened higher on July 15, 2026, driven by Donald Trump's decision to cancel a proposed 20 percent toll on cargo passing through the Strait of Hormuz. The rally was further supported by June inflation data from the U.S., which eased fears of aggressive monetary tightening by the Federal Reserve System.

While the BSE Sensex and NSE Nifty initially surged, the gains narrowed by the end of the trading day. The Nifty 50 closed virtually unchanged at 24,078.50 as positive corporate earnings and a ₹1.27 lakh crore outlay for the second phase of the India Semiconductor Mission, approved by the Government of India, were offset by rising crude oil prices and a weakening rupee. Iran's threats to block seaways in the Strait of Hormuz pushed Brent crude above $85 per barrel and contributed to market volatility.

Trading continued to trend upward on the morning of July 16. The Sensex rose over 300 points to reach an intraday high of 77,514.30, while the Nifty increased by 88 points. Growth on Thursday was led by consumer durables, IT, and auto stocks, though financial stocks like Axis Bank and SBI Life faced downward pressure.