The domestic market advanced to a positive territory on Monday after a muted start, amid robust buying momentum in banking and IT stocks. The rally was supported by a combination of robust domestic triggers and global factors.
Investors now look to Q2FY26 earnings for guidance; though expectations remain moderate, the market is more optimistic regarding Q3 results, led by a rise in consumer demand, Vinod Nair, Head of Research, Geojit Investments, said.
According to Ajit Mishra – SVP, Research, Religare Broking, festive season demand and optimism around upcoming IPOs kept the undertone constructive. “Globally, optimism surrounding potential US Fed policy easing and strength in Asian markets fuelled risk-on appetite.”
Benchmark indices extended their winning streak for the third consecutive session. settled with 582.95 pts or 0.72 per cent gains at 81,790.12 against the previous close of 81,207.17.
closed 183.40 pts or 0.74 per cent higher at 25,077.65, after hitting an intraday high of 25,095.95 against the previous close of 24,894.25.
Nilesh Jain, Head – Technical and Derivatives Research Analyst (Equity Research), Centrum Broking Ltd, said that Nifty trades comfortably above both its key short-term and long-term moving averages. The support base has shifted higher, with major support now established around the 24,800 level.
The Nifty Midcap 100 and Smallcap 100 up by 0.9 per cent and 0.28 per cent, respectively.
On the sectoral front, IT index gained the most, rallying over 2 per cent. Early optimism around TCS’s upcoming results is also fuelling speculative inflows into the sector.
Whereas profit booking was seen in the metal index, which shed nearly 1 percent. Banking and financial stocks also gained significantly.
Bank Nifty advanced for fifth straight session to reclaim 56,000-mark on strong Q2 business updates from heavyweight names, including HDFC Bank and Kotak Mahindra Bank.
Hospital stocks also surged following the revision of CGHS rates.
Religare Broking continued to favour themes such as PSU banks, oil marketing companies, and defence, while using dips to accumulate quality names from the metal and auto sectors.
Top gainers & losers
Among the Sensex pack, Max Healthcare, Shriram Finance, , Tech Mahindra, Apollo Hospitals and emerged as top gainers, while Trent, Tata Steel, , Power Grid and Eicher Motors experienced selling pressure and ended as major losers.
TCS, LTIMindtree, , Infosys, Mphasis, and led the surge of Nifty IT index.
Despite the benchmark’s strong rally, the market breadth weakened, with declining shares outnumbering advancing ones. A total of 4,449 stocks were traded on the , of which 1,827 advanced, 2,453 declined and 169 remained unchanged.
Nearly 201 stocks scaled to a 52-week high, while 117 stocks hit a 52-week low. Additionally, 11 stocks were locked in upper circuit and 6 hit the lower circuit.
Along with TCS Q2 results on October 9, 2025, investors will also keep an eye on and LG Electronics India.
Midcap & smallcap movers
Midcap stocks Fortis Healthcare, Nykaa, BSE, Paytm, Polycab and AU Small Finance Bank surged 3-7 per cent, while Vodafone Idea, ITC Hotels, Premier Energies and Torrent Power depreciated 2-4 per cent.
Under the smallcap segment, Delhivery, Aster DM Healthcare, Karur Vysya Bank, Kaynes Tech and MRPL soared 3-6 per cent, while Aegis Logistics, Ola Electric, Reliance Power, Aditya Birla Real Estate and Anant Raj fell 2-6 per cent.
On the BSE, KIOCL settled with 18 per cent gains. Fortis, Avalon, Emcure and Nykaa zoomed over 7 per cent. Conversely, Aegis Logistics, Max Estates, Pricol, Vodafone Idea and Greaves Cotton lost 4-5.5 per cent.
Global market
On the global markets, Japan’s Nikkei 225 index soared, while Hong Kong’s Hang Seng index settled lower.
US markets ended on a mixed note on Friday. Foreign Institutional Investors (FIIs) offloaded equities worth ₹1,583.37 crore on Friday, exchange data shows.