Sensex jumps 905 points to 74,151, Nifty gains 1% to 22,937 as Fed holds, crude eases and LTCG hopes build

Sectors and stocks

Realty was the best performing sector, up 2.75 per cent, followed by PSU banks, up 2.20 per cent. Information technology also gained, although the figure in the report is unclear. Cement fell 0.08 per cent and the auto index lost 0.24 per cent.

In the Nifty 50, the biggest gainers included Adani Ports and SEZ, Adani Enterprises, Kotak Mahindra Bank, Eternal and Power Grid. The main losers were Trent, Maruti Suzuki, Bajaj Auto, SBI Life Insurance and Eicher Motors. The reports do not give the percentage moves of these stocks.

Four reasons are given for the rally.

The first is the Federal Reserve. It left its rate unchanged at 3.75 per cent to 4 per cent on Wednesday, and the decision was expected, so it removed one source of uncertainty. The second is crude oil. Prices fell on talk of renewed diplomatic engagement in West Asia, which could help to avoid a resumption of US strikes on Iran. At about 3:39 pm Brent futures for January were at 110.17 dollars a barrel and US crude futures for December at 101.30 dollars. On Wednesday Brent had been above 115 dollars after an attack on a refinery in Saudi Arabia.

The third is foreign buying. Foreign institutional investors bought shares on the day. The fourth is the expectation of a cut in the long-term capital gains tax. The report describes this as a driver of sentiment, and says that there is no confirmed decision on it. Investors who trade on an expected tax change are taking a risk, because the government has not announced one.

On the Multi Commodity Exchange, December gold futures were at Rs 1,43,300 per 10 grams, down 0.28 per cent, and December silver futures were at Rs 1,91,977 a kilogram, down 1.21 per cent, at about 3:39 pm.

The chairman of the Securities and Exchange Board of India, Tuhin Kanta Pandey, said that the regulator will review compliance rules for foreign portfolio investors and seek public feedback on aligning them with international practices. Separately, Maruti Suzuki's cumulative exports of electric vehicles made in India have passed 50,000 units since international deliveries began in August 2025.

The Sensex is now above where it was at the start of the week, though the gains and losses of the four sessions show how sensitive it is to crude oil and to global rate expectations.

The report says that the market's direction in the short term may depend on whether domestic and foreign investors keep buying, and on the course of the LTCG tax-cut talk and global events. Brent crude, which has swung between about 110 and 115 dollars in the last two days, remains the main risk for the rupee and for inflation. Jio Platforms, which listed on Wednesday, will announce its September quarter results on Friday.

The figures are from the market close and differ slightly between sources. This article is for information and is not investment advice.