The Indian stock market witnessed a sharp surge on Monday as Sensex jumped over 1,000 points and Nifty reclaimed the 25,000 mark. The rally came after Prime Minister Narendra Modi announced a next-generation GST reform plan during his Independence Day speech, sparking optimism around festive demand and fiscal year 2027 earnings outlook.
By 10 am, the Sensex surged 1,082.98 points or 1.34% to 81,680.63, while the Nifty advanced 370.90 points or 1.51% to 25,002.20, reclaiming the psychological 25,000 level.
Key Drivers of the Market Rally
The sharp upmove was supported by strong buying in auto, consumer discretionary, and cement stocks. Market sentiment also received a boost from S&P Global Ratings upgrading India’s sovereign credit rating, further fueling investor confidence.
Major Gainers:
Maruti Suzuki
Bajaj Finance
Mahindra & Mahindra
UltraTech Cement
Trent
Bajaj Finserv
These stocks were among the top performers, leading the market rally.
Also Read: PM Modi’s I-Day Address: Focus on National Security and Economic Growth
Sector-Wise Performance
Out of 16 major sectors, 15 ended in the green, highlighting broad-based buying across the market.
Auto stocks jumped 3.4%
Consumer discretionary stocks rose 1.8%
Small-cap and mid-cap indices gained around 1% each
This broad rally indicates strong investor confidence ahead of the upcoming festive season.
Market Sentiment Ahead
The announcement of GST reforms by Diwali has raised expectations of a demand boost in the festive quarter. Investors believe that lower tax rates and simplified structures could improve consumption, benefiting sectors like autos, consumer goods, and cement.
With strong global cues, a sovereign rating upgrade, and positive domestic policy momentum, market experts expect the rally to sustain in the short term.
