Indian equity markets began Tuesday’s trade on a positive note as Sensex climbed 380 points and Nifty approached the 25,000 milestone. The upward momentum was largely supported by auto and financial stocks.
Ola Electric, Tata Motors, Bajaj Auto, Hero MotoCorp, Maruti Suzuki, and Eicher Motors gained up to 6%, extending Monday’s strong rally. The Nifty Auto index rose 1%, adding to the previous day’s 5% surge. So far in 2025, the index is up 11.21%, reflecting robust investor confidence.
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The market also took comfort from China’s assurance to India on addressing rare earth magnet supply issues. This is crucial for the EV industry as China controls nearly 90% of global production. The shortage had earlier impacted companies like Bajaj Auto, which had to cut EV output by 50% in July.
The ongoing rally suggests optimism ahead of the festive season, with analysts expecting potential GST cuts on vehicles to further support demand. Meanwhile, heavyweight stocks like Reliance Industries (RIL) and leading financials also added strength to the indices.
👉 Key Insight: Auto sector momentum, easing supply chain worries, and policy support hopes are keeping bulls in charge on Dalal Street.
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