The BSE Sensex jumped 575.45 points (0.70%) to close at 82,605.43, while the NSE Nifty50 advanced 178.05 points (0.71%) to settle at 25,323.55.
The rally was broad-based, with midcaps and smallcaps joining the party. The Nifty MidCap 100 rose 1.11%, and the Nifty SmallCap 100 gained 0.82%, reflecting strong participation beyond blue-chip names.
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Impact on the stock market
Sector-wise performance
- Nifty Realty led the pack, climbing 3.04% on strong housing demand and positive pre-festive trends.
- Nifty PSU Bank followed with a 1.67% gain, driven by strong earnings outlook and government capital infusion hopes.
- Nifty Metal added 1%, supported by global commodity optimism and a weaker dollar.
This mix of sectoral strength and easing crude oil prices helped lift overall market sentiment, even as IT and auto stocks lagged behind.
| Sector/Index | Performance |
| IT & BPM sector | 0.53% |
| Healthcare sector | 0.11% |
| Oil & Gas sector | 0.73% |
| Real estate sector | 3.04% |
| PSU Bank in India | 1.67% |
Top gainers today
| Company | Share Price (in ₹) | Change % |
| Nestle | 1,223.00 | 4.04 |
| Bajaj Finance | 1,059.90 | 4.00 |
| Bajaj Finserv | 2,084.10 | 3.20 |
| Asian Paints | 2,375.10 | 2.46 |
| HDFC Life | 761.15 | 2.37 |
Top losers today
| Company | Share Price (in ₹) | Change % |
| Tata Motors | 390.85 | -1.16 |
| Bajaj Auto | 8,998.00 | -1.15 |
| Infosys | 1,474.40 | -1.04 |
| Tech Mahindra | 1,459.00 | -0.61 |
| Axis Bank | 1,169.60 | -0.61 |
Market aftermath: Impact on stocks
Defence stocks fire up on funding boost
Shares of defence manufacturers soared after reports suggested that the Indian government may allocate an additional ₹40,000–45,000 crore under the capital budget for FY26 to fund large-scale defence projects.
As per ET Now, the government is likely to seek Parliamentary approval during the winter session for these supplementary grants — a move that could energise the entire defence ecosystem.
- MTAR Technologies jumped nearly 3%,
- BEML and Hindustan Aeronautics (HAL) surged up to 4%,
- Garden Reach Shipbuilders, Mazagon Dock, and Paras Defence also rallied.
Out of the 18 constituents of the Nifty Defence Index, 15 closed in the green.
Beyond India, optimism came from global developments — the EU’s plans for joint defence production and the US considering Tomahawk missile sales to Ukraine. Together, these moves hint at rising global defence demand, which could open fresh export and order opportunities for Indian players.
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Tata Communications results disappoint despite steady growth
Tata Communications shares came under pressure after reporting a 27% year-on-year (YoY) decline in net profit for Q2 FY26, even though revenue saw a 6.5% YoY increase to ₹6,100 crore.
Key metrics:
- EBITDA: ₹1,174 crore, up 3.9% YoY
- EBITDA margin: down 48 bps to 19.2%
- PAT margin: slipped to 3%, down from 4.4% last year
The margin contraction was mainly due to higher operational costs. However, the digital portfolio — which includes services like Voice AI and Cloud Networking — grew 14.9% YoY, showing resilience in high-growth segments.
CEO A.S. Lakshminarayanan noted that the company continues to secure major government contracts and that its digital services will drive long-term momentum. Meanwhile, CFO Kabir Ahmed Shakir highlighted improved data EBITDA margins, suggesting better cost discipline in core operations.
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Gold financiers shine as gold hits record highs
Gold continued its unstoppable rally, touching new lifetime highs on MCX — with December futures at ₹1,27,731 per 10 grams, and February futures at ₹1,28,879.
This surge lit up the stocks of gold loan financiers:
- IIFL Finance: up 5% to ₹508.5
- Manappuram Finance: up 2% to ₹289.3
- Muthoot Finance: up 2% to ₹3,277.5
Rising gold prices increase the value of the collateral for these lenders, reducing default risk and improving lending margins.
Experts attribute the gold rally to a cocktail of global concerns — trade conflicts between the US and China, geopolitical tensions like the Russia–Ukraine war, and the possibility of a US Fed rate cut after Jerome Powell’s recent dovish comments.
Axis Securities added that Comex Gold hit a record $4,180 per ounce, reflecting strong investor demand for safe-haven assets. Analysts expect gold could test $4,800 per ounce if the current macro trends persist.
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Crude oil cools off on supply glut warning
Crude oil prices continued their decline after the International Energy Agency (IEA) projected a potential supply glut in 2026.
At 9:57 a.m., December Brent futures traded at $62.18, down 0.34%, while November WTI was at $58.56, down 0.24%. On India’s MCX, October crude futures slipped 1.11% to ₹5,175, and November futures were down 1.05% to ₹5,163.
According to the IEA’s October Oil Market Report,
- Global oil supply rose 760,000 barrels/day in September to 108 million barrels/day.
- Supply is expected to rise another 2.4 million barrels/day in 2026.
- Non-OPEC+ nations (US, Brazil, Canada, Guyana, Argentina) will lead much of the growth.
Meanwhile, demand is showing signs of fatigue — expected to grow only 700,000 barrels/day annually in 2025 and 2026, much below historical averages. Factors like economic slowdown and EV adoption are curbing consumption.
Adding to the drama, US President Donald Trump reignited trade tensions, accusing China of economic hostility and threatening to terminate cooking oil imports. Though he later toned down his remarks, such geopolitical uncertainties continue to weigh on oil sentiment.
Conclusion
Wednesday’s session painted a picture of cautious optimism — Indian markets cheered falling crude prices and upbeat global cues, while sector-specific stories like defence and gold provided strong tailwinds.
However, corporate earnings such as Tata Communications’ margin dip remind investors that selectivity is key as Q2 results roll in.
For now, the momentum remains positive, but with global uncertainties — from Trump’s trade threats to gold’s meteoric rise — investors would do well to stay alert and diversified.
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