Rs 11 lakh crore Diwali boost for stock market! more gains in offing?
Sensex, Nifty today: The consumer sentiment was reflected in the equity market too. The market ended higher for five straight sessions.
- Oct 23, 2025,
- Updated Oct 23, 2025 8:51 AM IST
Investors gained over Rs 11 lakh crore in five straight sessions as rally on Sensex and Nifty reflected buoyant consumer sentiment post GST rate cut and boosted festive spending. According to traders' body CAIT, Diwali sales in 2025 reached a record Rs 6.05 lakh crore led by GST rate cuts. This was the highest-ever in India's trading history. Total Diwali sales stood at Rs 4.25 lakh last year during Diwali season.
Analysts believe strong Diwali sales is likely to contribute to earnings recovery of Indian corporates. The consumer sentiment was reflected in the equity market too. The market ended higher for five straight sessions.
Sensex rose 2,396 points in five sessions. On similar lines, the 50-stock Nifty climbed 723 points during the period.
Investor wealth stood at Rs 470.89 lakh crore on Tuesday (October 21) against Rs 459.67 lakh crore on October 14, thereby rising by Rs 11.22 lakh crore in five sessions.
Vikram Kasat, Head - Advisory, PL Capital said, "Broader market participation remains healthy, indicating a balanced undertone ahead of the new trading year. Looking ahead, the long-term outlook for Indian equities remains constructive. In near term investors will keep an eye on upcoming earnings announcements, global interest rate trends, and crude oil price movements."
Ponmudi R, CEO – Enrich Money is bullish on the outlook of the market.
"Technically, the structure remains bullish as long as Nifty sustains above 25,800, with 25,750 acting as immediate support. On the downside, 25,600–25,500 serves as a key support band, while a decisive breakout above 26,000–26,300 could lead to fresh lifetime highs. The broader sentiment stays positive, supported by robust Q2 earnings, festive liquidity, and steady foreign institutional inflows," said Ponmudi R.
Vinit Bolinjkar - Head of Research - Ventura is targeting 27,600 for Nifty in the next Samvat. Similarly, he expects Sensex to reach 90,100 during the same period.
"The Nifty is currently trading at a CY26 forward P/E of 18X, slightly above its average of 17X. This suggests that the potential for further downside is limited, and we expect the Nifty to improve from current levels. Key drivers for this potential upside include a domestic consumption-driven earnings revival from Q3FY26, a possible US–India trade deal, and fiscal and monetary support, including rate cuts and increased government capex," said Bolinjkar.
Meanwhile, global cues hold good for Indian equities amid a report that India and the United States may reach an agreement that would cut US tariffs on Indian imports to 15% to 16% from 50%.
According to a report in Mint, both sides are negotiating key components involving energy and agriculture. India is likely to agree to gradually cut imports of Russian oil in return for tariff concessions on exports to the US. US had imposed 25% tariff on Indian exports on purchases of Russian crude oil in addition to the 25% reciprocal tariff the US imposed on India.
Investors gained over Rs 11 lakh crore in five straight sessions as rally on Sensex and Nifty reflected buoyant consumer sentiment post GST rate cut and boosted festive spending. According to traders' body CAIT, Diwali sales in 2025 reached a record Rs 6.05 lakh crore led by GST rate cuts. This was the highest-ever in India's trading history. Total Diwali sales stood at Rs 4.25 lakh last year during Diwali season.
Analysts believe strong Diwali sales is likely to contribute to earnings recovery of Indian corporates. The consumer sentiment was reflected in the equity market too. The market ended higher for five straight sessions.
Sensex rose 2,396 points in five sessions. On similar lines, the 50-stock Nifty climbed 723 points during the period.
Investor wealth stood at Rs 470.89 lakh crore on Tuesday (October 21) against Rs 459.67 lakh crore on October 14, thereby rising by Rs 11.22 lakh crore in five sessions.
Vikram Kasat, Head - Advisory, PL Capital said, "Broader market participation remains healthy, indicating a balanced undertone ahead of the new trading year. Looking ahead, the long-term outlook for Indian equities remains constructive. In near term investors will keep an eye on upcoming earnings announcements, global interest rate trends, and crude oil price movements."
Ponmudi R, CEO – Enrich Money is bullish on the outlook of the market.
"Technically, the structure remains bullish as long as Nifty sustains above 25,800, with 25,750 acting as immediate support. On the downside, 25,600–25,500 serves as a key support band, while a decisive breakout above 26,000–26,300 could lead to fresh lifetime highs. The broader sentiment stays positive, supported by robust Q2 earnings, festive liquidity, and steady foreign institutional inflows," said Ponmudi R.
Vinit Bolinjkar - Head of Research - Ventura is targeting 27,600 for Nifty in the next Samvat. Similarly, he expects Sensex to reach 90,100 during the same period.
"The Nifty is currently trading at a CY26 forward P/E of 18X, slightly above its average of 17X. This suggests that the potential for further downside is limited, and we expect the Nifty to improve from current levels. Key drivers for this potential upside include a domestic consumption-driven earnings revival from Q3FY26, a possible US–India trade deal, and fiscal and monetary support, including rate cuts and increased government capex," said Bolinjkar.
Meanwhile, global cues hold good for Indian equities amid a report that India and the United States may reach an agreement that would cut US tariffs on Indian imports to 15% to 16% from 50%.
According to a report in Mint, both sides are negotiating key components involving energy and agriculture. India is likely to agree to gradually cut imports of Russian oil in return for tariff concessions on exports to the US. US had imposed 25% tariff on Indian exports on purchases of Russian crude oil in addition to the 25% reciprocal tariff the US imposed on India.