Indian equity benchmarks staged their strongest single-day rally in weeks on Thursday, October 29, as broad-based buying swept banking, FMCG and IT stocks. The 30-share BSE Sensex jumped 905.01 points, or 1.24 per cent, to close at 74,151.04, a more-than-a-week high. The 50-share NSE Nifty climbed 237.90 points, or 1.05 per cent, to settle at 22,936.75, reclaiming the 22,900 mark. The rally snapped a two-day losing streak and closed near the day’s highs.
Key Takeaways
- The Sensex rose 905.01 points (1.24%) to 74,151.04, while the Nifty rose 237.90 points (1.05%) to 22,936.75.
- Banking, FMCG, IT, realty and public-sector bank stocks led the advance, while auto was the only major sectoral laggard.
- The US Federal Reserve’s decision to hold interest rates steady and easing crude oil prices supported sentiment.
What Drove the Rally
The market opened on a muted note but gained momentum as the session progressed, led by IT and banking stocks. The primary catalyst was the US Federal Reserve’s decision to hold its benchmark interest rate in the 3.75–4.00 per cent range, in line with market expectations. The vote was 10–2, with Governor Cook and Cleveland Fed President Hammack dissenting in favour of a rate hike, which kept a December increase firmly in play. The decision landed days after data showed the US economy growing 3.4% in the third quarter, a backdrop that has kept investors focused on the path of US rates.
Crude oil also helped. Brent crude, the global oil benchmark, fell 1.18 per cent to 113.96 US dollars per barrel on the day, easing some of the cost pressure that has weighed on markets and consumers. The easing came even as supply worries have kept oil elevated in recent sessions, and traders will be watching whether the pullback in crude holds.
The rally snapped a two-day losing streak and closed near the day’s highs.
Winners and Laggards
Among the Sensex constituents, Adani Ports emerged as the biggest gainer, rising more than 5 per cent after the company reported an 18 per cent increase in consolidated net profit to Rs 3,682.44 crore for the September quarter, driven by higher revenue. Kotak Mahindra Bank rose 3.86 per cent, Power Grid 3.70 per cent, Eternal 3.46 per cent, Bajaj Finance 2.56 per cent, State Bank of India 2.43 per cent and Hindustan Unilever 2.43 per cent. Titan, NTPC, Bharat Electronics and Infosys also closed in positive territory. Trent, Maruti Suzuki India, Tech Mahindra and HDFC Bank were among the laggards.
- Sensex intraday: opened at 73,268.47, touched a high of 74,166.16, and closed at 74,151.04.
- Nifty intraday: opened at 22,690.65, touched a high of 22,961.95, and closed at 22,936.75.
- Bank Nifty rose 642.25 points, or 1.18 per cent, to 54,909.65.
- Nifty FMCG rose about 2.3 per cent and Nifty PSU Bank about 2.2 per cent, while Nifty Auto fell 0.2 per cent.
- Foreign institutional investors were net buyers of Rs 871.83 crore and domestic institutional investors net buyers of Rs 643.35 crore.
- The Nifty Midcap 100 and Nifty Smallcap 100 each rose approximately 1 per cent, signalling healthy broader market participation.
Breadth Was Healthy
The breadth of the rally was one of its strongest features. Except for auto, all major sectoral indices ended in the green. Among BSE sectoral indices, Utilities climbed the most, up 3.11 per cent, followed by PSU Bank at 2.63 per cent, Realty at 2.44 per cent, FMCG at 1.94 per cent, Services at 1.77 per cent, Power at 1.63 per cent, Consumer Durables at 1.55 per cent and Telecommunication at 1.30 per cent. Market analysts noted that buying was visible across several pockets, with realty, FMCG and select banking stocks leading the recovery, and that sustained buying across sectors will be essential to establish a more durable recovery.
What to Watch Next
What to watch next is whether Friday’s session holds the recovery above 22,900 and whether the Nifty can push toward 23,000, whether the buying across sectors sustains or narrows, and whether crude oil stays lower after its easing. Traders will also watch a fresh batch of corporate earnings and company-specific developments, with Coal India, Suzlon Energy, IndiGo, Trent and Vedanta among the stocks in focus, along with further signals on the Federal Reserve’s December decision. Until those questions are answered, Thursday’s rally stands as a strong rebound, not yet a confirmed durable recovery.