Indian equity markets closed significantly higher on Thursday, October 16, 2025, marking a second consecutive day of gains. The benchmark Sensex surged by 862.23 points, while the Nifty climbed to 25,585.30. This impressive performance was largely driven by a global market rally, buoyed by growing expectations of a US Federal Reserve rate cut.
The positive momentum was further amplified by substantial inflows from foreign funds, boosting investor confidence across the board. Throughout Thursday’s trading, the 30-share BSE Sensex experienced a remarkable leap, gaining 862.23 points, or 1.04%, to settle at 83,467.66. Earlier in the day, it even touched an intraday high of 83,615.48, a jump of 1,010.05 points or 1.22%.
Similarly, the 50-share NSE Nifty saw a strong surge, adding 261.75 points, or 1.03%, to close at 25,585.30.
Leading the charge among Sensex constituents were prominent banking and industrial giants. Kotak Mahindra Bank, Titan, Axis Bank, Adani Ports, Mahindra & Mahindra, Reliance Industries, Tata Motors, and HDFC Bank were among the top performers, contributing significantly to the market’s ascent.
In contrast, Eternal and Infosys experienced a slight dip, ending the day as the primary underperformers.
The positive sentiment was mirrored in several Asian markets. South Korea’s Kospi jumped by 2.49%, Japan’s Nikkei 225 index rose by 1.27%, and Shanghai’s SSE Composite index saw a modest gain of 0.10%. However, Hong Kong’s Hang Seng concluded the day with a slight decline. Markets across Europe also reported higher trading figures.
Echoing the global optimism, US markets had closed mostly higher on Wednesday, setting a favorable tone for international trading.
Vinod Nair, Head of Research at Geojit Investments Limited, commented on the market’s robust recovery, highlighting “positive global cues and renewed optimism surrounding India–US trade discussions.” He further noted that market sentiment was strengthened by “expectations of a Q3 FY26 demand revival, early signs of FII inflows, supported by dovish commentary from the US Fed, and a softer dollar index.”
Further bolstering confidence were ongoing trade talks between India and the US. Commerce Secretary Rajesh Agrawal is slated to join the Indian delegation in the US today, with India expressing its willingness to increase energy imports from America. The Indian negotiating team is already engaged in discussions in Washington.
On the commodities front, global oil benchmark Brent crude registered a modest increase, climbing 0.57% to reach $62.26 a barrel.
Foreign Institutional Investors (FIIs) demonstrated their confidence in Indian equities, purchasing shares worth ₹68.64 crore on Wednesday. Domestic Institutional Investors (DIIs) also made significant contributions, buying equities valued at ₹4,650.08 crore, according to exchange data.
This follows Wednesday’s performance, where the Sensex had already risen by 575.45 points, or 0.70%, to close at 82,605.43, and the Nifty had gained 178.05 points, or 0.71%, settling at 25,323.55.