Sensex‍‌‍‍‌‍‌‍‍‌, Nifty Resume Recovery of Over 1 Percent Each on All-round Buying, Stable Cues from Global Markets

Mumbai, November 26, 2025: The benchmark indices staged a strong recovery today, ending a three-session losing streak. Positive global cues, renewed expectations of a rate cut, and broad-based buying across sectors injected fresh momentum into the domestic market.

By 3:30 pm, the Nifty closed at 26,205.30, gaining 320.50 points (1.24%), while the Sensex ended at 85,609.51, up 1,022.50 points (1.21%). Market breadth was upbeat, with 2,543 stocks advancing, 1,199 declining, and 145 remaining unchanged.

Hope for Fed Rate Cut Drives Risk Appetite

Gains were further supported as market expectations increasingly pointed towards a potential US Federal Reserve rate cut in December. Weaker US retail sales data and falling consumer confidence added momentum, prompting Asian markets to open higher and extending the positive trend to Indian markets.

Investor sentiment brightened further after two US Fed officials publicly advocated for a rate cut this December. Technology and metal stocks led the rally, gaining 0.8% and 1.7% respectively, boosted by demand optimism under the lower interest rate scenario.

Adding to the bullish mood, reports suggesting Kevin Hassett as a potential next Federal Reserve chair reinforced market expectations of an impending rate cut.

Back home, Indian rate-sensitive sectors enjoyed a strong session. Financials, banks, PSU lenders, autos, consumer, and realty stocks rallied between 0.5% and 1%, supported by recent remarks from the RBI governor indicating room for further monetary easing in India.

Foreign Investor Buying Spree Keeps the Momentum Alive

Foreign institutional investors turned net buyers on November 25, reinforcing the day’s bullish sentiment and driving the market higher. Combined with strong domestic institutional activity, these inflows not only lifted the indices but also boosted investor confidence, signaling stabilization after recent volatility.

Earlier, expiry-related swings had dragged the Nifty down by 74 points despite substantial institutional inflows. However, solid fundamentals and continued fund activity have paved the way for potential new highs.

Heavyweights such as HDFC Bank, ICICI Bank, and Reliance Industries, which together constitute roughly 30% of the Nifty 50, rose about 1% each, significantly contributing to the overall gains in both Sensex and Nifty.

The India VIX stood at 12.07 on November 25, reflecting low volatility and a sense of calm among investors. Meanwhile, Bank Nifty scaled a fresh all-time high of 59,515, led by Axis Bank and IndusInd Bank.

The recovery was further supported by positive global commodity cues and broad-based sector participation, particularly in metals and PSU banks, strengthening the overall market rally.

Brent Crude Slips Below USD63

A sharp decline in global oil prices provided a boost to local stocks that had been under pressure. Brent crude fell 1.4% to USD 62.48 per barrel, while WTI dropped 1.5% to USD 57.95 per barrel, with both benchmarks hitting their lowest levels since October 22.

The fall in crude prices was partly driven by expectations of a resolution to the Ukraine-Russia conflict, following Ukraine’s announcement of progress in diplomatic talks. Amid falling crude prices, Indian oil marketing companies saw a rebound. Indian Oil Corp, BPCL, and HPCL recorded gains after experiencing declines in the previous session due to a brokerage downgrade highlighting risks from weakening diesel margins.

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