Indian stocks surged on Thursday, November 5, as falling crude oil prices, foreign buying and a Wall Street rally lifted the Sensex and Nifty 50. By 12:45 p.m., the Sensex had gained 1,650 points to reach 78,986.79, while the Nifty 50 climbed 481 points to 24,415.55. The advance added more than Rs 7 lakh crore to the value of BSE-listed companies and extended the market's winning streak to six sessions.
The Sensex opened more than 1,300 points higher at 78,630, and the Nifty 50 moved above 24,350 in early trading. The Nifty also crossed 24,000 for the first time since September 4, 2026, following several days of gains.
Crude oil provided a key trigger for Thursday's rise. Brent crude fell 8.7% in the previous session and moved toward USD 94 per barrel. Meanwhile, US West Texas Intermediate crude dropped to around USD 88, offering relief to markets sensitive to energy costs.
The slide followed the US midterm elections, in which Democrats won both chambers of Congress. The result shifted attention toward the conflict's effect on energy markets. Investors expect the new political balance to increase pressure on President Donald Trump's administration to reduce tensions in the US-Iran conflict.
For India, the change in oil prices carries direct economic consequences. The country imports much of the crude it consumes, so higher prices increase the import bill. They can also weaken the rupee and raise inflation risks.
Lower oil prices could ease these pressures if the decline continues. Companies facing high energy costs may see some relief in their expenses, while reduced import costs could help the wider economy.
Foreign institutional investors purchased Indian shares worth Rs 7,284 crore on Wednesday. That was their largest single-day purchase since October 28, 2025, and marked the fourth straight session of net buying.
Their purchases exceeded Rs 17,000 crore during the first days of November. The renewed inflows followed nearly Rs 90,000 crore in net selling during September and October, when foreign withdrawals weighed on Indian equities.
The fresh buying could provide support for large companies if the inflows continue. It came as the combined market value of BSE-listed companies rose from Rs 4,93,44,359 crore at the opening to Rs 5,01,28,536 crore by 12:45 p.m.
That change amounted to Rs 7,84,177 crore, or about Rs 7.84 lakh crore. At the same time, the rally reflected a strong US trading session. The S&P 500 had reached a three-month high as American shares gained after the election. The S&P 500 gained 1.6% on Wednesday, while the Dow rose about 3% and the Nasdaq added 1.4%.
Read More: Nifty Opens 68.6 Points Lower, Sensex Falls 64.74 Points
Could the change in Washington's political balance bring lasting relief to Indian markets? Investors are examining whether the election result will affect US government spending, bond yields, the dollar, and geopolitical tensions.
Ankita Pathak, Head of Global Investments at Ionic Asset, told NDTV that the economic effects would take time to become clear. She said the outcome could reduce geopolitical risks, but much would depend on developments after the new Congress takes office in January. Its economic effects could unfold gradually as lawmakers address spending and international relations.
Pathak said limits on new fiscal spending could help lower US bond yields. A weaker dollar and reduced geopolitical risks could then support emerging markets, gold, and other commodities.
Yet she warned that persistent inflation might limit any decline in yields. Pathak also pointed to rising political scrutiny of US artificial intelligence infrastructure, particularly data centers and their electricity needs. She expects AI investment to continue, although access to electricity could increasingly constrain expansion.
Thursday's rise in Indian equities followed a sharp decline in oil prices, renewed foreign investment and gains on Wall Street. The Sensex climbed 1,650 points, while BSE-listed companies gained approximately Rs 7.84 lakh crore in market value. Future market movements will depend partly on oil prices, foreign investment flows and global economic developments.