The Indian equity market maintained steady momentum today, with the Nifty 50 closing at 25,966 points, up 0.66%, holding firmly above its short-term moving average. The Sensex mirrored this move, rising 0.67%, while the BSE LargeCap and MidCap indices advanced 0.64% and 0.72% respectively, reflecting broad-based buying across segments.
Mid and small-cap indices continued to attract strong fund inflows, with Nifty MidCap 100 up 0.93% and Nifty SmallCap 100 gaining 0.82%, indicating sustained interest in growth and high-elasticity sectors. The Nifty Bank index also moved up 0.72%, signaling steady performance in financial counters, while the India VIX edged up slightly to 11.85, suggesting cautious optimism among traders.
Sectoral & Stock Performance:
The Nifty 50 heatmap reflected mixed performance, with a broader tilt toward moderate gains. The energy and telecom sectors led the rally — Reliance Industries surged 2.24%, and Bharti Airtel gained 2.50%, together lifting market sentiment. In the banking space, SBI climbed 2.02%, HDFC Bank rose 0.82%, while Kotak Mahindra Bank slipped 1.76%, signaling sectoral rotation within large financials.
Key Factors Supporting the Market
- Expectations of a Fed Rate Cut:
Softer U.S. inflation data bolstered expectations of a Federal Reserve rate cut, enhancing emerging market appeal. The FOMC meeting scheduled for 28th–29th October is now a key global event, with investors closely watching for policy cues. - FII Buying Momentum:
Foreign Institutional Investors (FIIs) remained strong buyers, with net inflows of ₹6,215.1 cr on 24th October. The trend of FII selling has eased considerably in October — cumulative sales stood at just ₹33.63 bn as of 25th October. Improved corporate earnings, festive-driven demand, narrowing valuation gaps, and progress in India–U.S. trade ties continue to attract overseas capital. - Global Market Tailwinds:
Broader Asian markets rallied in sync with Wall Street. The Nikkei 225, Hang Seng, Kospi, and Shanghai Composite all advanced, tracking easing inflation pressures and optimism over potential U.S.–China trade progress. Global indices such as the Dow Jones and Nikkei touched new highs, underscoring positive sentiment across developed and emerging markets.
Despite a strong opening, the domestic market saw mild profit-taking in the afternoon session, which capped further upside.
