SENSEX zooms over 1,000 points, NIFTY50 tests 23,350: 6 key factors driving the bull run

The Indian stock market started November and the trading week on a strong note on Monday, November 2, 2026, with benchmark indices surging over 1% in morning trade, amid broad-based buying across sectors.

The S&P BSE SENSEX jumped more than 1,000 points, while the NSE NIFTY50 topped the 23,350 mark briefly, extending gains as improving global cues, easing crude oil prices, and strong domestic triggers lifted investor sentiment.

At 11:22 AM, SENSEX stood at 75,383.98, up 1.24%, or 924.45 points, while NSE's NIFTY50 index traded at 23,319.55, up 1.16%, or 266.45 points. It hit a high of 23,360.50 during the session.

RIL shares surge up to 8% after strong Q2 numbers

Reliance Industries (RIL), India’s most valuable listed company, emerged as one of the biggest drivers of Monday’s market rally. The stock surged around 8% after the company reported a record quarterly profit for Q2 FY27, supported by a strong performance in its oil-to-chemicals (O2C) business and growth in telecom.

RIL reported consolidated profit after tax, including the share of associates and joint ventures, of ₹29,550 crore, up 33.8% year-on-year. Net profit attributable to owners of the company rose 40% to ₹25,548 crore, while EBITDA increased 23.9% to a record ₹62,409 crore.

Crude oil retreats from six-month highs

Easing crude oil prices provided another major boost to market sentiment. Brent crude futures fell around 2-3% on Monday, retreating towards $110 a barrel after touching a six-month high of around $118 last week.

Hopes of a possible diplomatic breakthrough eased concerns over further escalation in the conflict and potential disruptions to global oil supplies.

For India, which imports a large portion of its crude oil requirements, elevated oil prices increase the import bill, put pressure on the rupee and can fuel domestic inflation.

A sustained decline in crude prices could therefore ease macroeconomic concerns, support corporate margins and improve the country’s external balance.

Strong GST collections signal economic resilience

India’s gross Goods and Services Tax (GST) collections rose 22.9% year-on-year to ₹2.31 lakh crore in October, marking the second-highest monthly collection since the indirect tax regime was introduced in July 2017.

The strong mop-up reflected healthy economic activity, with GST revenue from domestic transactions rising 15.8% to ₹1.59 lakh crore. Collections from imports jumped 42.2% to ₹72,246 crore.

The robust tax collections provided another encouraging signal about the resilience of the Indian economy and domestic demand, supporting investor confidence at a time when global geopolitical uncertainties and elevated crude oil prices remain concerns.

Strong October auto sales lift sentiment

Automobile stocks also supported the broader market rally after major manufacturers reported healthy sales numbers for October, reflecting resilient festive demand.

Domestic passenger vehicle wholesales increased 12.4% year-on-year to 5,28,384 units in October. Maruti Suzuki reported a 20.5% increase in domestic wholesales to 2,12,384 units. TVS Motor’s sales rose 29%, while Tata Motors’ commercial vehicle sales increased 27% and Ashok Leyland reported 23% growth.

The numbers indicate that demand remained healthy despite a relatively high base from last year. Improved affordability following GST rate cuts, festive purchases, and a gradual recovery in consumer demand have supported vehicle sales.

Festive optimism and recovery after recent market weakness

The latest rally also reflects improving investor confidence after the recent bout of volatility and sharp selling pressure. The S&P BSE SENSEX and NIFTY50 have now advanced for three consecutive trading sessions, with the benchmarks having already gained over 1,200 points in the previous two sessions.

The beginning of the Diwali week, improving domestic cues, and stronger-than-expected corporate earnings have helped revive buying interest. Importantly, the latest advance was not restricted to a handful of heavyweight stocks. Broader market indices and most sectoral indices also moved higher, indicating wider participation in the recovery.

However, investors will watch whether the buying momentum sustains beyond the initial rebound, particularly as global uncertainty, crude oil prices and foreign fund flows continue to influence market sentiment.

Technical factors: NIFTY’s move above 23,000 strengthens recovery

Hariselvan Radhakrishnan, Founder and CEO of HST Wealth, a SEBI-registered Research Analyst firm, said the Nifty’s move above 23,000 has strengthened the recovery setup, although the 23,175–23,285 band remains an important resistance zone.

A sustained move above 23,285 could open the way towards the stronger supply area at 23,500–23,600, while 23,000 and 22,750–22,800 remain the key support zones.

On Bank Nifty, the analyst said a close above 55,150 is needed to confirm broader market participation. Otherwise, the opening gains could remain concentrated in a handful of index heavyweights.

"A decisive close above 23,285, accompanied by Bank Nifty reclaiming 55,150, would strengthen the case for a sustained recovery. Conversely, a failure to hold 23,000 after the gap-up opening would suggest that the recent decline in crude oil prices has provided only a temporary boost to sentiment rather than triggering a broader market advance," Radhakrishnan said.