Sensex Surges 700 Points, Nifty 50 Reclaims 25,900 as Markets Extend Gains

Mumbai | November 12

Indian stock markets continued their upward momentum on Wednesday, marking the third straight session of gains, supported by firm global cues, easing geopolitical concerns and steady domestic fundamentals.

The Sensex jumped over 700 points, or nearly 1 per cent, to hit an intraday high of 84,567.51, while the Nifty 50 advanced close to 1 per cent to 25,901.40, reclaiming the 25,900 mark. The BSE Midcap and Smallcap indices also traded higher, rising up to 0.5 per cent during the session, indicating broad-based buying across sectors.

In the past three trading sessions, the Sensex has added more than 1,350 points, while the Nifty has climbed about 1.6 per cent, reflecting renewed investor confidence in the Indian stock market.

Trade Deal Hopes and Global Relief Lift Sentiment

Market sentiment improved sharply after reports indicated that India and the United States are close to finalising a trade agreement. Media updates suggested that tariffs on Indian exports could be reduced “substantially”, signalling progress on long-pending trade issues.

The development has boosted optimism across export-linked sectors such as IT services, pharmaceuticals, and manufacturing, as investors expect easing trade frictions to support India’s export competitiveness.

Global cues were also positive after the US Senate approved a proposal to reopen the federal government, ending its longest shutdown on record. The move has reduced uncertainty and revived hopes that global economic data releases will resume, helping shape expectations on US Federal Reserve policy decisions.

The possibility of policy normalisation in the US, coupled with improving trade sentiment, has strengthened risk appetite across global markets. Asian peers such as Japan’s Nikkei and South Korea’s Kospi also closed higher, reflecting a broader recovery trend.

Domestic Stability and Q2 Earnings Support the Rally

On the domestic front, the market drew strength from a stable political outlook and healthy earnings momentum. Exit polls from the Bihar Assembly Elections 2025 indicated that the National Democratic Alliance (NDA) may retain power, reducing near-term political uncertainty.

Meanwhile, the Q2 earnings season is nearing completion, with most companies reporting steady results in line with expectations. The absence of major negative surprises and consistent profit growth across sectors has supported investor sentiment.

The market’s recent strength is also underpinned by India’s resilient macro indicators. Strong GDP growth, moderating inflation, and steady domestic liquidity have helped shield Indian equities from global volatility. Despite intermittent foreign selling, inflows from mutual funds and retail investors continue to remain robust.

Sectorally, gains were led by banking, auto, and IT stocks, while FMCG and pharma saw mild profit-taking after recent advances. The rally was largely driven by frontline names that carry significant weight in the benchmark indices, helping sustain market momentum through the week.

In the broader market, volumes remained healthy, and overall market breadth was positive, suggesting sustained buying interest across both institutional and retail categories.

Outlook

With global headwinds easing and domestic fundamentals stable, the near-term outlook for Indian equities remains positive. Market observers note that a successful trade pact between India and the US could further enhance sentiment, while continued government stability and policy support would add strength to the ongoing uptrend.

However, some consolidation cannot be ruled out after the recent rally, as investors may choose to book partial profits.

The Sensex and Nifty 50 are now approaching record levels, and any new triggers — such as the upcoming inflation data or global interest rate commentary — could set the tone for the next leg of the rally.

For now, the market’s steady climb reflects renewed confidence in India’s economic trajectory and its relative resilience in a volatile global environment.