Sensex, Nifty Jump 8%: India Shrugs Off Wall Street AI Rout
Nifty and Sensex logged their best week in over a year, rising over 8% on Rs 45,960 crore FII inflows as India stood firm through a Wall Street AI selloff.
“Sensex, Nifty Jump 8%: India Shrugs Off Wall Street AI Rout”
Read more onwww.entrepreneuroutreach.com/s/90f538
7 Nov 2026
https://www.entrepreneuroutreach.com/s/90f538
Copied
Sensex, Nifty Jump 8%: India Shrugs Off Wall Street AI Rout
On Thursday, Wall Street lost roughly $3 trillion in market value in an AI-led rout, and Asian tech-heavy markets suffered some of their steepest losses in years. Indian equities went the other way. By Friday, Dalal Street had closed its strongest week in more than a year, and investors were treating India as a relatively safe harbour while the rest of the world sold off.
The numbers are large. Nifty added 8.58 per cent over the week and gained 2 per cent on the final trading day to finish at 25,030. Sensex rose 1,718 points, or 2.17 per cent, on Friday to close at 81,028, with a weekly gain of 8.82 per cent. The Nifty also took back the 25,000 mark on a seven-session winning streak, just ahead of Diwali.
The biggest change was in foreign money. Foreign institutional investors (FIIs) recorded net inflows of approximately Rs 45,960 crore during the week, a sharp turnaround after a long period of steady selling. When foreign funds go from selling to buying this quickly, it usually means global investors have changed their view of India's risk, not just reacted to one piece of news.
Banking stocks benefited the most, with the Bank Nifty gaining about 8 per cent. Financial services, private banks, realty and consumer durables were among the best-performing sectors. Broader markets also took part: the Nifty Midcap100 rose 5.77 per cent and the Nifty Smallcap100 gained 2.77 per cent.
One analyst summed up the mood: "Dalal Street lit up ahead of Diwali. Indian equities logged one of their best weekly gains with the Nifty reclaiming 25,000 on a seven-session winning streak."
Local Strength, Washington Spark
Domestic data had already set the stage. "Strong Q2 earnings, healthy October auto sales and firm GST collections set the stage, but Washington supplied the spark," the analyst said. The US midterm election verdict revived hopes of de-escalation in the Iran conflict and a softer line on tariffs, both important for a trade-exposed, oil-importing economy like India.
Crude oil helped too. WTI fell from above $104–$105 a barrel to around $90, while Brent eased to the $97–$98 range, with both posting weekly declines of more than 12 per cent. For India, which imports most of its oil, cheaper crude eases pressure on inflation, the rupee and corporate margins all at once. The US Federal Reserve's decision to keep interest rates unchanged added to the positive mood.
The rally is not risk-free. US jobs data and next week's US CPI reading will shape expectations for the Fed, and officials are still signalling further hikes. At home, investors will watch the domestic CPI print and the remaining Q2 results. For now, though, this week showed that domestic fundamentals and returning foreign money can protect Indian markets even when Wall Street falls hard.
With inputs from IANS
info
Financial or Legal Advice Disclaimer
This article is for general information only and does not constitute financial or legal advice.
