Nifty, Sensex hit best levels since June, led by banks
India's stock markets just hit their best levels since June, with Nifty and Sensex both up 1.7% this week.
Friday's close saw Nifty at 25,709.85 and Sensex at 83,952.19, thanks mostly to a surge in banking stocks as loan demand and investor buzz picked up ahead of Diwali.
Canara Bank drives Nifty Bank index surge
The Nifty Bank index smashed records, jumping 3,000 points this month and nearly 10,000 since March.
Big names like Canara Bank led the way, fueled by strong loan and deposit growth last quarter.
RBI's recent rate cuts and relaxed rules made it cheaper for banks to lend, keeping domestic investors interested even as foreign investors pulled out nearly $9 billion from financials since 2025.
Analysts warn of potential slowdown post-festive season
With Diwali's muhurat trading coming up, market activity is peaking.
Analysts say this technical breakout could mean more gains for banks, but also caution that the momentum might slow down after the festive rush.