The Nifty 50 was up 0.34% at 25,955.2, while the BSE Sensex gained 0.35% to 84,361.9

Indian equity benchmarks jumped in early trading on Tuesday, extending recent gains as investor sentiment improved on signs of a recovery in foreign portfolio inflows following a trade agreement with the US.

The Nifty 50 was up 0.34% at 25,955.2, while the BSE Sensex gained 0.35% to 84,361.9 as of 10:03 a.m. IST. The blue-chip indexes have gained more than 3% in the six sessions since New Delhi and Washington announced a trade deal.

The announcement of India-U.S. trade deal and its immediate impact on foreign fund flows have brought back some confidence in the market. There is higher willingness among investors to make risky bets in the broader market, said Sunny Agrawal, head of fundamental equity research at SBICAPS Securities.

Foreign investors purchased Indian shares worth 22.55 billion rupees ($248.6 million) on Monday, as per provisional data and have bought $1.3 billion of Indian equities so far in February, after three consecutive months of selling.

Wider Asian markets gained following Japanese Prime Minister Sanae Takaichi’s decisive election victory over the weekend.

MSCI’s broadest index for Asia Pacific stocks outside Japan added 0.7%, while Japanese stocks surged 2.5% to a record high.

In India, the broader small-caps and mid-caps rose 0.6% and 0.2%, respectively. They have added 5.9% and 5.1%, respectively, in the last six days.

Twelve of the 16 major sectors advanced on Tuesday. Auto stocks added 0.8%, while metals advance 0.7%.

Among stocks, exchange operator BSE climbed nearly 6% as higher transaction revenue drove a sharp rise in its third-quarter revenue and profit.

Industrial machinery maker ISGEC Heavy Engineering surged 18% on upbeat quarterly results, while Texmaco Rail & Engineering dropped 2.3% after a decline in December-quarter profit.