By Bharath Rajeswaran and Vivek Kumar M

Indian shares advanced on Monday, led by HDFC Bank and Axis Bank on strong quarterly business updates, while lower crude oil prices also aided sentiment.

The benchmark Nifty 50 NSE:NIFTY rose 0.48% to 24,385.4, while the BSE Sensex BSE:SENSEX added 0.5% to 78,146.72, as of 10:11 a.m. IST.

The Nifty and Sensex have logged four straight weekly gains in their longest winning streak of 2026, rising 3.9% and 4.7% respectively, supported by lower oil prices as U.S.-Iran peace efforts persist and concerns over a near-term U.S. rate hike ease.

Twelve of the 16 major sectors logged gains. High-weight banks NSE:BANKNIFTY and financials NSE:CNXFINANCE rose 0.7% each.

HDFC Bank NSE:HDFCBANK climbed 2.7% after reporting a 15.4% increase in gross advances during the June quarter. Axis Bank NSE:AXISBANK gained 1.7% after its business update over the weekend reflected 18.8% growth in gross advances.

Kotak Mahindra Bank NSE:KOTAKBANK lost 3.4% after posting a sequential moderation in both loan and deposit growth.

"Most of the banks which reported June quarter provisional numbers have met or exceeded our estimates, with the exception of Kotak and RBL," said Piran Engineer, senior research analyst at CLSA.

"While overall growth has been strong, we remain watchful of the granularity within loan book expansion and potential impact of declining CASA ratios on margins," Engineer said.

A narrowing in rainfall deficit to 24% as of July 5 from 40% at the end of June as India's crucial monsoon season progresses, and a likely moderation in foreign outflows will be key for the South Asian nation's markets in the near-term as the Iran war's impact on corporate earnings unfolds, analysts at Equinomics Research, Shriram Life Insurance and Lighthouse Canton said.

Foreign portfolio investors purchased stocks worth 13.55 billion rupees ($142.32 million) on Friday, provisional data showed, marking a third consecutive session of net buying.

Among stocks, Nykaa-parent FSN E-Commerce NSE:NYKAA gained 2.3% after its quarterly business update suggested sustained momentum in revenue growth.