Indian equities surged on Thursday, with benchmark indices closing at their highest levels in nearly four months, fuelled by broad-based buying across sectors. Gains in banking, real estate and FMCG stocks led the advance as investors turned optimistic ahead of the upcoming earnings season and festive demand tailwinds.
The NSE Nifty 50 rose 262 points, or 1.04 per cent, to close at 25,585, after briefly crossing the 25,600 mark in intraday trade, a level last seen in June. The S&P BSE Sensex rallied 862 points to settle at 83,468, tracking upbeat global cues and firm domestic sentiment.
Banking shares were among the biggest movers, with the Nifty Bank index jumping 623 points to finish at 57,423, inching closer to its record high of 57,628. Major lenders including Kotak Mahindra Bank, Axis Bank, HDFC Bank and ICICI Bank were the top contributors.
Axis Bank gained after reporting a strong quarterly performance, while RBL Bank rose 2 per cent following news of a proposed fund-raising plan to be discussed on 18 October.
In the broader market, the Nifty Midcap 100 climbed 271 points to 59,241, though it lagged large-cap peers. Market breadth remained positive, with a 3:2 advance-decline ratio, indicating strong investor participation across the board.
“Domestic equities extended their strong recovery rally, buoyed by positive global cues and renewed optimism surrounding India–US trade discussions. Sentiment was further lifted by expectations of a Q3FY26 demand revival, early signs of FII inflows, supported by dovish commentary from the US Fed, and a softer dollar index,” said Vinod Nair, Head of Research, Geojit Investments.
All key sectoral indices ended higher. The Nifty Realty and Nifty FMCG indices led gains, both rising 2 per cent, supported by festive demand expectations and improving consumer sentiment. Oberoi Realty was among the standout performers, buoyed by sustained institutional buying.
Gold-linked counters also rallied ahead of Diwali, with Titan advancing 3 per cent on expectations of stronger jewellery demand ahead of Dhanteras.
On the earnings front, Nestlé India jumped 4 per cent, topping the Nifty gainers’ list after posting robust second-quarter results that beat market forecasts on both revenue and margins.
In contrast, Eternal was the Nifty’s worst performer, shedding 3 per cent amid cautious management commentary and muted guidance. The insurance sector also saw weakness after HDFC Life posted mixed Q2 results; Max Financial Services dropped 4 per cent on concerns around premium growth and persistency.
Elsewhere, KEI Industries declined 6 per cent following delays in commissioning its Sanand plant, raising near-term operational concerns. Among index heavyweights, Reliance Industries gained nearly 2 per cent, emerging as the top contributor to the Nifty ahead of its quarterly earnings announcement later in the day. |
