21 May 2026: Nifty, Sensex Edge Higher In Mid-Session As Iran-US Talks Lift Global Risk Sentiment

Indian equities traded with a mild upward bias on Wednesday afternoon. They were supported by a global risk-on mood after comments from US President Donald Trump signalled progress in negotiations with Iran.

At 12:58 pm, the BSE Sensex and the Nifty 50 were up 0.31% and 0.15%, respectively.

Broader Markets Also Experienced Gains

Broader markets, along with benchmark indices, also witnessed gains. At 12:46 pm, the Nifty Midcap 100 and Nifty Smallcap 100 were trading in green and were up 0.01% and 0.44%, respectively.

However, sectoral weakness came from Nifty IT, Nifty FMCG and Nifty Consumer Durables, which stayed under pressure.

Iran Diplomacy Lifts Global Equities Tone

Sentiment improved after Trump said his administration was in the final stage of talks with Iran, according to a White House Pool report. Traders read this as a potential easing of geopolitical tensions in West Asia, particularly around energy supply routes.

Oil-sensitive markets responded quickly, with investors pricing in the possibility of reduced disruption risks if negotiations translate into a de-escalation.

Other Notable Developments

Some other notable developments include:

• Potential raise of ₹2,000 crore via floating rate bonds by Muthoot Finance next week

• Raising of ₹4,000 crore by Aditya Birla Group through a preferential share issue to strengthen its capital base and fund growth

• JSW Motors secured about ₹8,000 crore in funding from the State Bank of India for developing a new greenfield manufacturing facility in Maharashtra

Also Read - BPCL Boosts Russian Crude Share To 41% As West Asia Tensions Cloud Gulf Supplies

Traders Watch Geopolitics

Market participants did not appear to take aggressive positions. Analysts feel they are waiting for clearer signals to emerge from the Iran-US negotiations.

Sources:

Business Standard

The Economic Times