India’s benchmark indices rebounded sharply on February 2, 2026, ending a two-day decline as Sensex closed at 81,678.46 (up 955 points or 1.17%) and Nifty 50 at 25,098.30 (up 273 points or 1.10%). Investor wealth jumped over ₹4 lakh crore, fueled by bargain hunting post-Budget STT hike jitters and broad sectoral gains.
Market Drivers
Post-Budget recovery erased Sunday’s losses, with GIFT Nifty signaling positivity amid mixed Asian cues and Wall Street volatility. Engineering services led advances, while IT and healthcare lagged; Adani Ports (+5%), RIL (+3%), L&T, and Asian Paints shone.
Key Sector Performances
- Nifty Bank: Up 1.2%, buoyed by private lenders.
- Auto & Metals: Strong gains on export optimism.
- FMCG/IT: Mixed, with tobacco stocks pressured by excise hikes.
Broader Context
Market cap rose to ₹446 lakh crore; FII selling paused as rupee stabilized. Analysts eye Q3 results, US Fed signals, and trade deal progress amid rupee weakness and bond yield spikes from Budget borrowings.
