**GLOBAL & INDIA MARKET BRIEF** **Date:** February 3, 2026 **Executive Summary** Global equities are witnessing a significant divergence from commodity markets today. While stock indices in India and Asia are surging to record highs driven by a landmark geopolitical shift, commodities—particularly precious metals and crude oil—are facing high volatility and downward pressure. **Equity Markets: Historic Rally** **India (Sensex & Nifty)** Indian benchmarks registered one of their strongest single-day performances in recent history today. * **Sensex:** Surged over **2,400 points** (+2.9%) to breach the **84,000** mark. * **Nifty 50:** Climbed nearly **740 points** to top **25,800**. * **Market Cap:** Investor wealth swelled by approximately **₹13 lakh crore** in early trading. * **Driver:** The rally is fueled almost exclusively by the newly announced India-US trade agreement, which alleviates long-standing tariff fears. **Global Indices** * **United States:** Wall Street closed sharply higher on Monday (Feb 2). The **Dow Jones** added **515 points** (+1.1%), while the **S&P 500** rose **0.5%**, nearing record highs. * **Asia:** Regional markets followed the positive lead. South Korea's **KOSPI** jumped nearly **7%**, and Japan's **Nikkei 225** rallied **3.9%**, buoyed by renewed tech optimism and easing trade tensions. **Key Event: India-US Trade Deal** The primary catalyst for today's market exuberance is the finalized trade pact between New Delhi and Washington. * **Tariff Reduction:** The US has slashed reciprocal tariffs on Indian goods from **25%–50%** down to **18%**. * **Energy Pivot:** As part of the deal, India has committed to halting Russian oil imports in favor of purchasing American energy and technology. * **Sector Impact:** Export-heavy sectors are the immediate beneficiaries. **Nifty IT**, **Pharma**, and **Textile** stocks saw gains between **3% and 20%** intraday. **Commodities: Volatility & Correction** Unlike equities, the commodity complex is under severe stress, driven by a "risk-on" shift in capital and strengthening US dollar sentiment. **Precious Metals (Crash & Rebound)** Gold and Silver are experiencing extreme volatility following a massive sell-off earlier in the week. * **Gold:** After plummeting **17%** from recent highs, prices are trading around **$4,700–$4,800/oz**. In India, 24K gold dropped sharply to approx. **₹1,51,750 per 10g**. * **Silver:** Witnessed a historic crash of nearly **30%** in previous sessions but showed a technical rebound of **5–7%** today. Domestic prices fell to **₹2,80,000/kg**. **Energy** * **Crude Oil:** Prices continue to slide amid oversupply concerns and the geopolitical realignment of energy trade. **Brent Crude** slipped below **$67/bbl**, while **WTI** is trading near **$62/bbl**. **Critical Watchlist** * **US Federal Reserve:** Markets remain sensitive to the nomination of **Kevin Warsh** as the next Fed Chair, which has triggered bond yield fluctuations. * **AI Sector:** Investors are closely monitoring capital expenditure concerns after volatility in **Nvidia** and **Oracle** stocks, despite the broader tech rally. * **Currency:** The US Dollar Index remains elevated, exerting pressure on emerging market currencies and commodities.