US-Iran peace deal: Is it enough to end the 2-year drought for Nifty bulls, bring FIIs back?

A US-Iran framework deal to end hostilities and reopen the Strait of Hormuz triggered a sharp rally in Indian markets, with the Sensex surging nearly 1,300 points and the Nifty reclaiming the 24,000 mark. Brent crude plunged 4% to $84/barrel, the rupee strengthened 0.7% to 94.46/USD (a seven-week high), and FIIs began covering shorts and building fresh longs in index futures. Strategists revised FY27 GDP and CPI projections to 6.9% and 4.6% respectively, citing relief on energy costs and balance-of-payments pressures, though the Nifty remains down 9% from its peak and valuations have de-rated to ~18x P/E.