Benchmark stock market indices gained sharply after a flat opening on Monday, led by gains across banking and IT stocks. After a quiet start, the Sensex surged over 500 points, while the Nifty50 crossed the 25,000 mark.
Banks, IT firms, and healthcare stocks led the rally, supported by strong corporate results and steady economic growth.
Private banks were in the spotlight after weekend reports showed healthy loan growth. Kotak Mahindra Bank climbed 2.44%, HDFC Bank added over 1%, and Bajaj Finance jumped 3% after reporting a 24% increase in assets under management for July-September. Other heavyweights like TCS, Axis Bank, and HCLTech also gained ground.
Healthcare stocks received a lift after the government revised CGHS rates, benefiting Apollo Hospitals, Manipal Healthcare, and Narayana Health.
Dr. VK Vijayakumar, Chief Investment Strategist at Geojit Investments, said the market is navigating a mix of optimism and caution. “The positive sentiments triggered by the growth-stimulating monetary policy face headwinds from the continuing FII selling, but can be sustained by positive news on growth and corporate earnings for FY27,” he noted. He added that growth is likely to remain strong, supporting corporate earnings growth of more than 15 percent next year.
The market is also closely watching US.-India trade tensions. “A trade deal can turn out to be a trigger for a rally in the market. We will have to wait and watch for developments on this front,” Vijayakumar said. He further explained that fresh money flowing into the market is chasing domestic consumption themes such as automobiles, banking and financials, telecom, aviation, metals, cement, and digital platform companies-a trend that looks likely to continue. He highlighted that the first-quarter data on credit and deposit growth from Kotak Mahindra Bank “look impressive,” adding confidence to the rally.
In short, Monday’s jump reflects a combination of strong corporate performance, domestic consumption-driven investment flows, and cautious optimism around trade developments, reminding investors that even in a volatile world, good news still moves the market.