Sensex jumps 2,000 points in pre-Diwali rally as US election optimism lifts markets

Indian stock markets surged Thursday in a pre-Diwali rally, with the Sensex jumping 2,008.61 points (2.60%) to close at 79,310.01, driven by optimism over US midterm election results and a favorable global environment. The Nifty also rose 576 points (2.40%) to 24,536.60, with buying across sectors led by financials and autos. Analysts cited hopes for de-escalation in the Iran conflict and tariff policy changes, while falling crude prices, US Treasury yields, and the dollar eased inflation concerns. Crude oil recovered from early losses, with Brent rebounding to near $96 a barrel. Foreign buying and strong Q2 earnings supported the rally, though analysts cautioned its sustainability depends on breadth and concrete progress on geopolitical de-escalation.