Indian equity markets extended their winning run on Tuesday, November 3, as strong buying across financial, fast-moving consumer goods (FMCG) and realty stocks lifted benchmark indices to their highest levels in two months. Easing crude oil prices, renewed foreign investor interest and encouraging corporate earnings helped sustain the rally, giving Dalal Street a strong start to the week.
The 30-share BSE Sensex surged 1,225.07 points, or 1.62%, to settle at 76,917.85. The NSE Nifty 50 advanced 370.05 points, or 1.58%, to close at 23,810.85, reclaiming the 23,800 mark. Both indices finished at their respective session highs.
The latest gains extended the benchmarks’ winning streak to four consecutive sessions. Over this period, the Nifty has climbed nearly 5%, marking its strongest four-session advance in seven months. The Sensex has also added around 5%, taking both indices to levels last seen about two months ago.
The rally was not limited to large-cap shares. The Nifty Midcap 100 rose 1.06% to 58,596.25, while the Nifty Smallcap 100 gained 0.31% to 18,652.85. The Nifty Bank index advanced 0.98% to 55,540.05.
Top gainers and losers
FMCG and consumer-facing stocks led the Nifty 50 gainers. BSE topped the list, rising 5.03%, followed by Nestle India, which gained 4.47%. Tata Consumer Products advanced 4.29%, Asian Paints climbed 3.99%, and Bharti Airtel added 3.77%.
Power Grid Corporation was the biggest Nifty 50 laggard, falling 3.04%. State Bank of India (SBI) declined 1.70%, while Oil and Natural Gas Corporation (ONGC) slipped 1.13%. Adani Enterprises and Tata Steel also ended lower, losing 0.84% and 0.49%, respectively.
Marico was a standout performer beyond the benchmark index, surging around 10% after reporting a strong September-quarter performance and raising its FY27 guidance. The company posted a 31% year-on-year rise in consolidated net profit to Rs 550 crore, while revenue from operations grew 13% to Rs 3,897 crore.
FMCG, realty and financial stocks drive rally
Among sectoral indices, the Nifty FMCG index led the advance, rising 3.65%. The Nifty Realty index gained 2.33%, while the Nifty Auto index added 1.71%. Financial stocks also supported the benchmarks: the Nifty Financial Services index rose 1.8%, and the private banking index advanced 2%.
HDFC Bank and ICICI Bank were among the key contributors, gaining 3.6% and 2.7%, respectively, according to market data. Their strong performance mattered because the two lenders together account for a significant share of the Nifty 50.
What supported investor sentiment?
A combination of domestic and global factors helped lift equities. Lower crude oil prices eased concerns about India’s import bill, inflation and pressure on the rupee. As one of the world’s largest oil importers, India is particularly sensitive to sharp movements in international energy prices.
Brent crude had fallen about 7% in the previous session on hopes of progress in negotiations involving the United States and Iran. It recovered around 1% on Tuesday to trade near $106 a barrel, as investors continued to assess geopolitical developments, including reports of US strikes on Iran’s Qeshm island.
Foreign fund flows offered another source of support. Foreign institutional investors (FIIs) bought Indian shares worth Rs 3,114.68 crore on Monday, while domestic institutional investors (DIIs) were net sellers of Rs 392.20 crore, according to exchange data. Reuters reported that foreign portfolio investors had been net buyers in four of the previous five sessions, suggesting a tentative return of overseas money after a period of sustained selling.
Expectations of a possible reduction in long-term capital gains (LTCG) tax for foreign portfolio investors also supported sentiment. Investors are watching for any policy changes that could improve the appeal of Indian equities and encourage further overseas participation. However, no tax change should be treated as confirmed until an official announcement is made.
Earnings and global cues remain in focus
Corporate results provided stock-specific triggers. Marico’s strong numbers helped lift its shares, while SBI’s stock fell despite the lender reporting a 14.28% year-on-year increase in standalone net profit to Rs 23,037.95 crore for the September quarter.
Markets will continue tracking quarterly earnings, crude oil movements, foreign fund activity and developments in West Asia. The outcome of the US midterm elections and movements in global technology stocks may also influence sentiment.
Going ahead, investors are likely to remain cautious despite the strong recovery in benchmark indices. The direction of crude oil prices, developments in the US-Iran conflict and fresh foreign institutional investor (FII) flows will remain important triggers for the domestic market.
The ongoing September-quarter earnings season will also influence stock-specific movements, with investors assessing whether companies can sustain revenue growth and profitability amid global uncertainties. While the four-session rally has strengthened confidence and helped major indices recover significant lost ground, analysts believe sustained buying and supportive global cues will be essential to maintain the upward momentum in the coming trading sessions.