Nifty IT index surges over 6.5%: Oracle Financial Services, Persistent Systems, and Infosys top contributors

The investor sentiment got a major boost after India and Pakistan on Saturday, May 10, reached an understanding to stop all firings and military actions on land, air, and sea, with immediate effect.

In a media briefing close to midnight, India's Foreign Secretary Vikram Misri called upon Pakistan to take 'appropriate steps' to address the violations and deal with the situation with 'seriousness and responsibility'.

Besides, on the global front, the US and China have decided to roll back most of their recent tariffs and call a 90-day pause to keep talking to resolve their trade disputes.

US Trade Representative Jamieson Greer said the US agreed to drop its 145% tariff rate on Chinese goods by 115 percentage points to 30%, while China agreed to lower its rate on US goods by the same amount to 10%.

Greer and Treasury Secretary Scott Bessent announced the tariff reductions at a news conference in Geneva.

These developments led to a stellar rise in the benchmark indices, as well as heavy buying across the board.

The US imposed 145% tariffs on China, for which China announced retaliatory tariffs of 125%. Currently, China holds the highest tariffs from the US after the Trump administration announced a 90-day pause on reciprocal tariffs, except for China.

Shares of Wipro, Mphasis, Tech Mahindra and Tata Consultancy Services also zoomed 6.11%, 5.98%, 5.18% and 4.76%, respectively.

US President Donald Trump posted on the social media platform X that the talks conducted are very good and negotiating in a friendly but constructive manner. He also said, “We want to see, for the good of both China and the US, an opening of China and American business. Great progress made.”

Nifty Midsmall IT & Telecom gauge also jumped 6%.

HFCL, Birla Software, Sonata Software, Zensar Technologies and KPIIT Tech were the most winning stocks, rising as much as 9.91%.