Mumbai: Market witnessed a strong rally on Wednesday as the Sensex soared by 715.69 points, breaking an eight-day losing streak. The Reserve Bank of India’s Monetary Policy Committee (MPC) decided to keep the repo rate unchanged at 5.5 percent, signaling stability to investors. Additionally, RBI raised its GDP growth forecast for FY26 from 6.5 percent to 6.8 percent, giving markets a positive outlook on the economy’s growth prospects.
Strong Auto Sales Further Lift Market Sentiment
The rally was also supported by robust automobile sales data for September, which lifted investor confidence. The combination of steady RBI policy and strong sector performance led to widespread buying across multiple sectors.
Sensex and Nifty Close Strong
The Sensex opened slightly lower but quickly turned positive, hitting an intraday high of 81,068.43 before closing at 80,983.31, up 0.89 percent. The Nifty also followed suit, closing at 24,836.30, gaining 225.20 points or 0.92 percent. Analysts noted that Nifty reclaimed levels above its 100-day Exponential Moving Average (EMA), an important technical resistance level.
Sectoral Gains and Key Stocks
Banking, financial services, automobile, FMCG, and IT sectors led the rally. Nifty Bank surged 712 points (1.30 percent), Nifty Financial Services gained 360 points (1.38 percent), Nifty Auto climbed 226 points (0.85 percent), Nifty FMCG rose 394 points (0.72 percent), and Nifty IT increased by 250 points (0.74 percent). Major Sensex gainers included Tata Motors, Kotak Bank, Axis Bank, ICICI Bank, Tech Mahindra, and HDFC Bank. Some stocks like Bajaj Finance, Ultratech Cement, SBI, and Asian Paint ended lower.
Broader Markets Also Positive
Broader market indices showed similar strength. Nifty Small Cap 100 rose 193 points (1.10 percent), Nifty Midcap 100 gained 500 points (0.89 percent), Nifty 100 climbed 207 points (0.82 percent), and Nifty Next 50 increased by 242 points (0.36 percent).
