Nifty and Sensex Jump Over 1%; Nifty 50 Logs Biggest Intraday Gain in Last 4 Months

Market Update at 4:10 PM: On Thursday, October 16, Indian equity benchmark indices surged over 1 per cent, extending gains for the second consecutive session. The Nifty 50 index touched its highest level since June 30 and recorded its sharpest single-day move in almost four months, since June 26. The Nifty 50 advanced 261.75 points, or 1.03 per cent, to settle at Rs 25,585.30, while the Sensex jumped 862.23 points, or 1.04 per cent, to close at Rs 83,467.66, in a broad-based rally led by private Banks following Axis Bank’s Quarterly Results. India’s fear index, India VIX, rose over 3 per cent during the day.

Several factors supported the October 16 rally. Fed Chair Jerome Powell reinforced expectations of an October rate cut and hinted at a possible pause in the balance sheet runoff, boosting investor sentiment.

Investor confidence improved as fears over a US-India trade conflict eased after US President Donald Trump mentioned that Prime Minister Narendra Modi assured him that India would halt purchases of Russian oil.

WTI crude oil futures remained near USD 58.60 per barrel, a five-month low, amid rising US-China tensions and a bearish outlook from the International Energy Agency.

On the sector front, 10 of 11 sectors closed higher. Rate-sensitive sectors led the gains, with the Nifty Auto index up 1.27 per cent and Nifty Realty rising 1.9 per cent.

The Nifty IT index increased 0.37 per cent despite Infosys declining 0.2 per cent ahead of its quarterly results due post-market hours. Broader markets underperformed slightly but still ended positive, with the Nifty Midcap and Smallcap indices rising 0.46 per cent and 0.24 per cent, respectively.

Among individual stocks, Ola Electric Mobility surged 5 per cent and was locked in the Upper Circuit after launching its first battery energy storage system (BESS). Axis Bank gained 2.28 per cent despite a drop in September quarter profit, supported by improved operating performance and asset quality.

HDFC Life Insurance fell 2.40 per cent due to margin pressure from the GST cut. Mangalore Refinery and Petrochemicals rose over 1 per cent after reporting a quarterly profit from a loss a year ago. Oberoi Realty jumped over 5 per cent following a 29 per cent rise in Q2 profit, while Huhtamaki India surged 12 per cent after a two-fold increase in quarterly profit.

The biggest contributors to Nifty gains were HDFC Bank (+51.11 points), Reliance Industries (+35.71 points), and ICICI Bank (+29.56 points). Stocks weighing on the index included Eternal Industries (-21.02 points), HDFC Life Insurance (-4.25 points), and Infosys (-2.75 points).

Market breadth favored advancing stocks, with 1,814 out of 3,192 NSE-traded stocks rising, 1,280 declining, and 98 unchanged. A total of 84 stocks touched 52-week highs, 64 hit 52-week lows, 90 were locked in upper circuits, and 54 were in Lower Circuits.

Market Update at 12:30 PM: Equity markets opened higher on Thursday, supported by stock-specific action as companies continued to report their Q2 results.

Around 12 PM, the BSE Sensex was trading at 83,012, up 406.68 points or 0.5 per cent, while the Nifty50 stood at 25,450, gaining 127 points or 0.5 per cent.

Major gainers on the Sensex included Axis Bank, Adani Ports, Titan, Kotak Bank, Mahindra & Mahindra, Eternal, Bharat Electronics (BEL), Tata Motors, NTPC, and HCL Technologies. On the other hand, Infosys, Tech Mahindra, Tata Consultancy Services (TCS), Tata Steel, and Sun Pharma were among the Top Losers.

In the broader markets, the Nifty MidCap index gained 0.43 per cent, while the Nifty SmallCap index advanced 0.28 per cent.

Among sectoral indices, the Nifty Auto and Nifty Private Bank indices rose 0.8 per cent each, followed by the Nifty Realty index, which added 0.6 per cent. The Nifty IT index was the only laggard, slipping 0.14 per cent.

Market Update at 10:15 AM: India’s equity benchmarks opened higher on Thursday, supported by gains in private banks after Axis Bank reported better-than-expected net interest margins and a pickup in loan and deposit growth.

The Nifty 50 rose 0.39 per cent to 25,422.80, while the BSE Sensex added 0.41 per cent to 82,938.89 as of 9:30 a.m. IST.

Private banks climbed 1 per cent, led by a 3 per cent jump in Axis Bank. Although the private lender posted a larger-than-expected drop in September-quarter profit.

The broader indices also saw gains, with Small-Cap stocks rising 0.6 per cent and Mid-Cap stocks gaining 0.2 per cent.

Among the top-weighted stocks, HDFC Bank and ICICI Bank advanced 0.6 per cent each, while Reliance Industries added 0.5 per cent. These three companies are scheduled to report their quarterly results later in the week.

Pre-Market Update at 7:45 AM: Equity benchmark indices Sensex and Nifty 50 are expected to open higher on Thursday, October 16, tracking positive global cues. At 7:15 AM, the GIFT Nifty was trading at 25,464, up 61 points, indicating a strong start for domestic equities.

In a key development on India-US trade relations, a negotiating team from India is in the US to discuss a “win-win solution” for both sides. Former US President Donald Trump said Prime Minister Narendra Modi had assured him that India would stop purchasing oil from Russia. “He assured me today that they will not be buying oil from Russia,” Trump said, calling it a major step and urging China to follow suit.

India’s unemployment rate rose marginally to 5.2 per cent in September from 5.1 per cent in August. Rural unemployment increased to 4.6 per cent from 4.3 per cent, while urban unemployment edged up to 6.8 per cent from 6.7 per cent.

According to the latest Monetary Policy Committee (MPC) meeting minutes, RBI Governor Sanjay Malhotra noted that while there was scope for a rate cut earlier, the committee preferred to wait for a more suitable time. He added that a softer inflation outlook provides room for future policy actions to support growth.

In early Asian trades, markets traded higher, following gains in the US, where indices closed mostly in the green after strong quarterly results from major banks.

Axis Bank’s Q2FY26 net profit declined 26 per cent year-on-year to Rs 5,090 crore from Rs 6,918 crore due to a one-time standard asset provision. Net interest income (NII) rose 2 per cent YoY to Rs 13,745 crore. The bank’s asset quality improved sequentially as the gross NPA ratio fell 11 bps to 1.46 per cent, and the net NPA ratio eased 1 bps to 0.44 per cent.

Infosys, Eternal, Wipro, Nestle India, Jio Financial Services, LTIMindtree, Indian Bank, Waaree Energies, Indian Overseas Bank, and JSW Infrastructure will announce their Q2 earnings today.

On Wednesday, October 15, Foreign Institutional Investors (FIIs) were net buyers, purchasing equities worth Rs 68.64 crore. Domestic Institutional Investors (DIIs) also remained buyers for the 36th consecutive session, investing Rs 4,650.08 crore.

Indian equities rebounded after two sessions of decline. The Nifty 50 rose 178 points, or 0.71 per cent, to close at 25,323.55, while the Sensex gained 575.45 points, or 0.70 per cent, to end at 82,605.43. The India VIX fell over 5 per cent, reflecting lower volatility. Among sectors, 10 out of 11 indices ended in the green. Nifty Realty led the rally with a gain of over 3 per cent, followed by Nifty PSU Bank, which advanced over 1.5 per cent. Nifty Metal also gained around 1 per cent after three sessions of losses. Broader indices, including Nifty Midcap and Smallcap, also closed higher.

US markets ended mostly higher. The S&P 500 rose 0.40 per cent to 6,671.06, the Nasdaq gained 0.66 per cent to 22,670.08, while the Dow Jones Industrial Average slipped slightly by 0.04 per cent to 46,253.31. The S&P 500 banking index climbed 1.2 per cent, marking its first three-day winning streak in over three weeks. However, US-China trade tensions escalated after Trump hinted at scaling back certain trade ties, including those linked to cooking oil, as both nations imposed reciprocal port charges.

Gold prices hit an all-time high on safe-haven demand amid economic uncertainty and expectations of US rate cuts. Spot gold rose 0.4 per cent to USD 4,224.79 per ounce, after touching a record USD 4,225.69. On MCX, gold futures surged to a new high of Rs 1,27,740 per 10 gm before closing at Rs 1,27,210 per 10 gm.

Crude oil prices advanced after Trump’s remarks on India halting Russian oil imports. Brent crude rose 0.89 per cent to USD 62.46 per barrel, while US WTI futures gained 0.93 per cent to USD 58.79 per barrel.

For today, Sammaan Capital will remain on the F&O ban list.

Disclaimer: The article is for informational purposes only and not investment advice.