Sensex jumps 905 points to 74,151 as Fed pause lifts banks, FMCG

India's benchmark share indices rose more than 1% on Thursday, October 29, 2026. The BSE Sensex closed at 74,151.04, up 905.01 points or 1.24%, and the NSE Nifty 50 ended at 22,936.75, up about 1.05%, according to closing reports. Market reports credited heavy buying in banking and consumer goods (FMCG) shares, the US Federal Reserve's decision the previous day to keep interest rates unchanged, a slight easing in crude oil prices and renewed buying by institutional investors. Adani Ports, Adani Enterprises and Kotak Mahindra Bank led the Nifty's gainers, while Trent, Maruti Suzuki and Bajaj Auto were among the few losers.

A one-day move of more than 1% is large for the Indian market, and this one was broad: most sectors rose, not just a handful of heavyweight shares. The main trigger was overseas. The US Federal Reserve held its policy rate steady on October 28. With US inflation still well above target, a rate rise had been a possibility; a pause, even a temporary one, reduces the pull of higher US returns on global money and makes emerging markets such as India look relatively more attractive.

Oil was the second support. India imports most of the crude oil it uses, so even a small fall in prices eases pressure on the trade deficit, on company costs and on inflation. Reports described the easing as marginal, which means the relief depends on oil staying calmer in the days ahead.

The third factor was money flows. Foreign institutional investors, often called FIIs, were net buyers on the day before the rally, alongside domestic institutions such as mutual funds and insurers. When both groups buy at the same time, rallies tend to be broader. Whether foreign buying continues will be one of the key things to watch.

Individual stocks also moved during the September-quarter results season, with Kotak Mahindra Bank and the two Adani group companies among the day's strongest performers. The fall in auto shares such as Maruti Suzuki and Bajaj Auto went against the trend, as investors weighed the outlook for the sector.

The day's gains were not shared by every market, however. Reports noted that relief for the rupee after the Fed decision proved short-lived, a reminder that currency markets remain sensitive to oil prices and dollar strength.

Short-term: The rally lifts the value of most equity mutual fund and retirement portfolios. Traders will watch whether it holds as more quarterly results arrive and as US data, including the inflation figures released the same evening, shape expectations for the Fed's next move.

Long-term: One strong session does not change the underlying drivers of the market: corporate earnings, the path of oil prices and foreign investment flows. A sustained recovery would need steady earnings growth and calmer oil.

Who is affected: Retail investors and mutual fund holders; foreign and domestic institutional investors; companies planning share sales; and shareholders of the leading gainers and losers named above.

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