Sensex climbs 450 pts, Nifty ends near 26,050 as metal and realty stocks rally

Sensex Climbs 450 Points, Nifty Ends Near 26,050 as Global Cues Lift Market Sentiment

Index	Price	Change	% Chg
Nifty 50	26,046.95	148.40	+0.57%
Nifty Bank	59,389.95	180.10	+0.30%
Nifty Financial	27,672.60	110.70	+0.40%
BSE SENSEX	85,267.66	449.53	+0.53%

Indian Markets Extend Gains as Positive Global Sentiment Supports Broad-Based Rally

Indian equity indices ended higher on Friday, with the Sensex settling 450 points higher and the Nifty closing near 26,050, extending the previous session’s rally led by a U.S. Federal Reserve rate cut. The markets gained strength from upbeat global cues, renewed risk appetite across Asian indices and broad sectoral buying, even as the benchmarks still logged a modest weekly decline.

The Nifty 50 closed 0.57% higher at 26,046.95, while the BSE Sensex rose 0.53% to 85,267.66, building on Thursday’s Fed-driven 0.5% rebound. Despite the strong finish to the week, both indices still recorded a 0.5% weekly loss, as investors booked profits near record highs earlier in the week.

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Fed Rate Cut and Asian Market Optimism Fuel Domestic Buying Interest

Market sentiment strengthened after the U.S. Federal Reserve announced a 25-basis-point interest rate cut, accompanied by a softer stance on inflation and rising concerns around the U.S. labour market. Analysts noted that the Fed’s commentary reflected a dovish tilt, a positive signal for emerging markets such as India, where foreign inflows are often sensitive to global rate movements.

Asian markets mirrored this optimism, with South Korea’s Kospi, Japan’s Nikkei 225 and Hong Kong’s Hang Seng trading sharply higher. U.S. indices also closed mostly in the green overnight, contributing to favorable sentiment in Indian markets.

Metals and Realty Lead Sectoral Advance While FMCG and PSU Banks Lag

Sector-wise, metals staged a strong rebound, emerging as the top performers of the day. The metal index climbed 2.63%, driven by demand optimism after China—one of the world’s largest commodity consumers—announced a fiscal boost for 2026. Realty stocks also surged, gaining 1.53%, supported by strong quarterly pre-sales and steady institutional buying.

Consumer durables, oil & gas, and auto stocks posted moderate gains. However, FMCG and media shares underperformed, slipping 0.24% and 0.05% respectively, as investors rotated capital into higher-beta sectors.

Midcap stocks outperformed the broader market, with more than 2,324 shares advancing, only 1,036 declining, and 145 remaining unchanged, reflecting strong breadth in the broader market.

Top Gainers and Losers: Metals Shine, FMCG Drags

Among Nifty50 constituents, Tata Steel (+3.38%), Hindalco (+3.26%), Eternal (+2.37%), UltraTech Cement (+2.25%), and Larsen & Toubro (+1.72%) were the top gainers, benefiting from strong global commodity cues and robust domestic demand.

On the other hand, Hindustan Unilever (-1.80%), Max Healthcare (-0.73%), Sun Pharma (-0.72%), ITC (-0.55%), and Asian Paints (-0.52%) were the major laggards, reflecting sectoral rotation and short-term volatility in defensive counters.

Bank Nifty also closed in the green, rising 0.30% to 59,389.95, supported by private lenders even as PSU banks underperformed.

Market Breadth Strengthens as Advance–Decline Ratio Indicates Broad Buying Support

Market breadth remained firmly positive on Friday, reflecting strong participation across the broader market despite volatility in select sectors. The Advance–Decline Ratio showed a clear tilt toward buyers, highlighting improving sentiment across midcap and smallcap segments.

The India VIX, the volatility indicator, fell 2.81% to 10.11, signalling reduced market uncertainty and encouraging traders to take positions more confidently. A declining VIX often corresponds with increased risk appetite, and Friday’s movement aligned with the broader rally seen across equities.

In terms of daily market action:

• Advancers: 2,072

• Decliners: 1,036

• 52-Week Highs: 58

• 52-Week Lows: 57

• High Band Hitters: 80

• Low Band Hitters: 39

This strong market breadth reinforced the strength of the day’s rally, with a larger number of stocks participating in the uptrend compared to those that declined. Traders noted that the near-equal number of 52-week highs and lows reflected ongoing stock-specific volatility even as broader indices strengthened.

Rupee Hits Fresh Record Low Despite Equity Market Gains

Despite buoyant equity markets, the Indian rupee weakened to a new all-time low of 90.56 per U.S. dollar, pressured by persistent foreign outflows, a firm U.S. dollar index and heavy dollar purchases from importers. The currency had previously hit 90.4675 on Thursday.

At the interbank foreign exchange market, the rupee opened at 90.43, declining further through the session. Forex traders cited rising global precious metal prices and risk aversion tied to India–U.S. trade negotiations as key contributors to the rupee’s extended weakness.

The dollar index remained firm at 98.37, keeping emerging market currencies under pressure.

Global Markets Extend Gains as Investors React to Fed’s Policy Shift

Global equity markets showed strong traction, with the Stoxx Europe 600 rising 0.5%, while U.S. futures showed mixed movement—S&P 500 futures flat, Nasdaq 100 futures down 0.2%, and Dow Jones futures up 0.3%.

Across Asia, the MSCI Asia Pacific Index gained 1.3%, and the MSCI Emerging Markets Index rose 1%, reflecting improved risk appetite across global markets.

Cabinet Approves Bill to Raise FDI in Insurance Sector to 100 Percent

In a major policy development, the Union Cabinet approved a bill proposing to increase foreign direct investment (FDI) in the insurance sector to 100%, according to government sources. The move is expected to attract global insurers, deepen competition, and expand insurance penetration in India.

Analysts anticipate that higher FDI could strengthen capital buffers for insurers, foster innovation, and improve product offerings, ultimately benefiting policyholders.

NSE F&O Ban List: Key Stocks Under Restrictions

A number of stocks entered the F&O ban list, including Bandhan Bank, Sammaan Capital, and several possible entrants such as Kaynes, Adani Enterprises, HFCL, CONCOR, IRCTC, IndiGo, RBL Bank, and Dixon.
Several stocks are nearing ban thresholds, while no stocks were marked for potential exit from the ban list.

The ban list is based on the Market-Wide Position Limit (MWPL) framework, restricting F&O trading once limits exceed regulatory thresholds.

Market Outlook: Investors Watch Rupee Levels, FII Flows and Global Central Bank Signals

Looking ahead, investors will closely watch the rupee trajectory, FII activity, and global policy cues from the Bank of Japan, European Central Bank and Bank of England. India’s November CPI, expected to remain within RBI’s comfort band, could further reinforce market stability expectations.

Despite short-term volatility, analysts believe India remains well-positioned among emerging markets, supported by strong macro fundamentals, resilient corporate earnings and sustained retail participation.

• Nifty 50
• Bank Nifty
• Sensex

FAQs for Stock Market

Why did the Sensex and Nifty rise today despite the Indian rupee hitting a record low against the US dollar?

The Sensex and Nifty gained even as the rupee weakened because global risk sentiment improved after the US Federal Reserve cut interest rates and Asian markets rallied. Investors focused on positive global liquidity cues, strong buying in metals and realty stocks, and easing volatility in the India VIX, which helped offset concerns over the record-low rupee.

How do global cues like the US Fed rate cut and Asian market trends influence Indian stock market performance?

Global cues such as Fed rate decisions, US market movement, and Asian index performance directly affect foreign investor flows and risk appetite in India. When global markets turn optimistic—like after a dovish Fed stance—domestic equities often see strong buying interest across large-, mid-, and small-cap stocks.

What does a declining India VIX indicate, and how does it impact near-term movement in the Sensex and Nifty?

A falling India VIX typically signals lower volatility expectations and reduced fear in the market. When the VIX moves lower—as it did by 2.81%—investors and traders feel more confident in taking positions, often leading to a broader market rally and improved advance–decline ratios across sectors.

Why do metal and realty stocks rally strongly when China signals fiscal support or demand recovery?

Metal and real estate stocks are highly sensitive to China’s economic policies because China is the world’s largest consumer of industrial metals. When China pledges fiscal stimulus or demand recovery—as it did for 2026—global commodity prices strengthen, boosting Indian metal producers and sectors linked to construction and infrastructure.

What factors contributed to the weekly decline in markets even though the Sensex and Nifty ended the last two sessions in the green?

The weekly decline occurred because investors booked profits near record highs during the first three sessions of the week. Despite a late rebound driven by the Fed rate cut, the cumulative pullback in heavyweight stocks earlier in the week led to a net weekly loss of around 0.5% on both benchmarks.

How do FII flows, rupee levels and global central bank meetings affect the short-term outlook for Indian equities?

Foreign institutional investment flows shift based on risk sentiment, currency stability, and global monetary policy. A weak rupee, uncertain trade negotiations or hawkish signals from central banks like the BoJ, ECB or BoE can impact FII inflows, thereby influencing near-term market direction, liquidity and volatility.

What does the Advance–Decline Ratio reveal about market strength when indices like the Nifty and Sensex close higher?

A strong advance–decline ratio—such as 2,072 advancers versus 1,036 decliners—shows that the market rally is broad-based rather than limited to a few index heavyweights. This indicates healthier market sentiment, stronger participation from midcaps and smallcaps, and sustainability of the upward trend.