The Indian stock market saw a strong rally on Monday, November 2, 2026, with the Nifty 50 and Sensex each surging over 1%. This uptick signals a potential rebound in Indian equities, driven by improving global conditions and positive domestic factors.
One key driver was the retreat in oil prices from a six-month high, following talks to end the Iran war. Brent crude fell to around $110 per barrel, down from $118 on Friday, easing concerns over energy costs and their impact on India's economy.
Reliance Industries also contributed to the market's gains, with its shares rising 6% after reporting stronger-than-expected earnings for the September quarter. The company's consolidated net profit jumped 40.6% year-on-year to ₹25,548 crore, beating analyst estimates.
Strong domestic economic indicators, including 17.94% credit growth and a 22.9% increase in GST collections, further bolstered investor confidence. Analysts also noted rising expectations of changes to the long-term capital gains tax regime in the upcoming Union Budget.
Additionally, the weakening of the AI trade globally, which led to a sharp 2.8% drop in the Nasdaq last Friday, benefited Indian markets as a counter-AI investment play.