Indian stock markets ended sharply higher on Tuesday, 13 October 2026. The BSE Sensex closed at 73,033.78, gaining 1,107 points or 1.54%, while the NSE Nifty 50 rose 1.60% to settle at 22,721.95.
The rally was led by strong buying in information technology stocks, supported by positive earnings-related developments and improved investor sentiment. HCL Technologies and TCS were among the major gainers. Most major sectors ended in positive territory, while mid-cap stocks also recorded gains.
Stock analysts say that the market sentiment improved significantly during the day's session. However, high crude oil prices, inflation concerns and global geopolitical uncertainties may continue to influence market movements. Investors are likely to focus on upcoming corporate earnings and global economic developments for further direction.
Hariselvan Radhakrishnan, Founder & CEO at stock research analyst firm HST Wealth, said; "Earnings-led buying in technology stocks, easing US treasury yields and improving domestic sentiment outweighed concerns over elevated crude prices."
He added that IT stocks led the rally after HCLTech’s quarterly performance, stronger AI-related revenue and healthy deal wins bolstered confidence in the sector’s earnings outlook. TCS, Infosys and Tech Mahindra joined the advance, making IT the clear sectoral outperformer. Consumer durables, media and FMCG also posted gains, but market participation remained uneven.
"The Nifty and Sensex outperformed Bank Nifty, while the broader market lagged the benchmark indices, suggesting that the advance was driven primarily by large-cap technology and other index-heavy stocks rather than a broad-based recovery," Radhakrishnan said.
Government sops too helped the markets to revive. Finance Minister Nirmala Sitharaman said the government would consider stakeholders’ views on the removal of long-term capital gains (LTCG) tax during Budget consultations, describing the debate over securities transaction tax (STT) as healthy. However, she made no commitment to scrapping either levy. The remarks nevertheless lifted sentiment, particularly towards stock exchanges and other capital-market businesses.
While Brent crude remained elevated near $106 a barrel, the US 10-year Treasury yield’s decline below 5.2% eased some of the immediate pressure on equity valuations. This, coupled with earnings-led buying and short covering, helped the Nifty finish firmly higher despite persistent inflation risks stemming from elevated oil prices.
"Domestic sentiment received an additional boost in the afternoon after Finance Minister said the government would carefully consider views on the demand to abolish long-term capital gains tax. The comments followed calls from market experts to remove the levy to help revive foreign capital inflows. Although the remarks did not signal a policy change, they raised hopes of a possible reassessment of a tax that has been a point of concern for investors," said R Ponmudi, CEO at Enrich Money, an online trading and wealthtech comapny.
He added that the rupee’s continued recovery following recent RBI measures to manage dollar demand, along with softer crude oil prices, provided further support.
"A firmer currency and lower energy costs could ease pressure on India’s import bill and improve the broader macroeconomic backdrop," Ponmudi said.