Sensex & Nifty Scale New Peaks, Lifting Indian Markets To A 14-Month High, Here’s What’s Fueling The Momentum

Mumbai: The Indian stock market surged to fresh record highs on November 27, with the Sensex crossing 86,000 and the Nifty 50 touching 26,306.95 during intraday trade. Bank Nifty also climbed to a new peak of 59,804.65, reflecting strong optimism across major sectors. Although the frontline indices later trimmed their gains and the mid- and small-cap segments faced profit booking, overall sentiment remained firmly positive.

The Nifty 50 climbed to a fresh all-time high of 26,290.25 on Thursday, November 27, breaking its earlier record of 26,277 set exactly 14 months earlier on September 27, 2024.

A major force behind the market’s rally is the rising expectation of interest rate cuts by both the US Federal Reserve and the Reserve Bank of India in December. Investors believe that a 25 basis point cut from each central bank may inject substantial liquidity into global and domestic markets. A potential US rate cut could weaken the dollar, making emerging markets like India more attractive for foreign investments.

Foreign institutional investors have already begun buying Indian equities, encouraged by relatively reasonable large-cap valuations and improving earnings prospects. They have turned net buyers in recent sessions, with significant inflows reported on November 26. Although global uncertainties persist—such as delays around an India–US trade deal—experts note that lower oil prices and a softer dollar index could keep the momentum supportive.

Market confidence is also being fueled by expectations of strong earnings growth from Q3 FY26 onward. As per analysts, the consumption boost seen during the festive season is likely to translate into better corporate performance, helping ease valuation concerns in the broader market.

Global sentiment is further improving with renewed talks of a possible Russia–Ukraine peace deal. Reports indicate that fresh diplomatic efforts may be underway, raising hopes of the war coming to an end. Such a development could sharply reduce crude oil prices, repair global supply chains, bring down inflation, and improve economic stability worldwide—ultimately benefiting corporate profitability and supporting market strength.

Disclaimer: This content is for informational purposes only and should not be considered financial advice. Markets are subject to risks. Please consult a qualified advisor before making investment or trading decisions.