**MARKET BRIEF: Trade Deal Sparks Historic Rally** **Overview** Indian equity markets witnessed a massive resurgence on Tuesday, driven by the finalized India-US trade agreement. The deal, which slashes reciprocal tariffs on Indian goods to **18%** (down from threatened highs of 50%), triggered the biggest single-day buying spree by Foreign Institutional Investors (FIIs) in months. **Key Market Data (Feb 3, 2026)** * **Sensex:** Closed at **83,739.13** (+2,073 points / +2.54%) * **Nifty 50:** Settled at **25,727.55** (+639 points / +2.55%) * **Investor Wealth:** Surged by **₹12.10 lakh crore** in a single session * **Market Cap:** Total BSE-listed market cap reclaimed the **$5.16 trillion** mark **FII & Institutional Flows** Foreign investors broke a prolonged selling streak, pouring over **₹5,200 crore** into Indian equities. This sharp reversal follows months of outflows driven by tariff uncertainties. Domestic institutions (DIIs) continued their support, but the aggressive return of foreign capital was the primary catalyst for the session's velocity. **Currency & Debt Markets** * **Rupee (INR):** Staged a dramatic recovery, gaining **122 paise** (+1.33%) to close at **90.27** against the US Dollar. * **Bond Yields:** The 10-year benchmark yield remained elevated at **6.78%** due to post-budget borrowing concerns, but the trade deal has significantly improved long-term sentiment regarding fiscal stability and capital flows. **Sectoral Movers** Buying was broad-based but led by export-heavy and rate-sensitive sectors. * **Top Gainer:** Adani Ports surged **9.12%**. * **Key Performers:** Bajaj Finance, InterGlobe Aviation, and Sun Pharma led the rally. * **Laggards:** Tech Mahindra and Bharat Electronics saw minor profit booking. **Editorial Take** The reduction of the tariff overhang provides immediate clarity for export-oriented sectors (textiles, gems, jewelry). With the US trade relationship stabilized and the Union Budget 2026-27 digested, the market narrative has shifted from defensive caution to renewed liquidity-driven optimism.