Nifty above 22,600 level; private bank shares advance

The key equity benchmarks traded with modest gains in mid-morning trade, supported by positive global cues and quarterly business updates, while investors remained focused on the RBI?s upcoming policy decision amid expectations of a 25-basis-point rate hike and sustained domestic institutional buying. The Nifty traded above the 22,600 level, while private bank shares extended gains for the fourth consecutive trading session.

At 11:30 IST, the barometer index, the S&P BSE Sensex, jumped 411.89 points or 0.57% to 72,794.36. The Nifty 50 index gained 119.85 points or 0.53% to 22,675.60.

In the broader market, the BSE 150 MidCap Index rose 0.77% and the BSE 250 SmallCap Index added 0.79%.

The market breadth was positive. On the BSE, 2,460 shares rose and 1,284 shares fell. A total of 267 shares were unchanged.

RBI MPC Meeting

The Reserve Bank of India?s (RBI?s) six-member Monetary Policy Committee (MPC) meeting began on 5 October 2026 and will conclude on 7 October 2026. The MPC?s policy decision is scheduled to be announced on 7 October. Investors will closely track the RBI?s stance on key policy rates, as the outcome could have a bearing on market liquidity and investor sentiment.

Buzzing Index:

The Nifty Private Bank index rose 0.96% to 26,973.85. The index jumped 1.98% in the four consecutive trading sessions.

Kotak Mahindra Bank (up 3.67%), IndusInd Bank (up 1.92%), Axis Bank (up 1.29%), and HDFC Bank (up 0.53%) jumped.

Global Markets:

Asian stocks traded higher on Tuesday, tracking an overnight rally on Wall Street led by technology and artificial intelligence-linked stocks. Mainland Chinese markets remained closed for a holiday.

US stocks ended higher on Monday, with the Nasdaq Composite closing at a record high as Nvidia and other technology stocks gained. The Dow Jones Industrial Average rose 0.18% to 51,267.90, while the S&P 500 gained 0.66% to 7,773.95. The Nasdaq advanced 1.05% to 27,477.31.

AI-linked stocks led the gains. Nvidia rose 2.12% to a record closing high, while Microsoft gained 1.48%, Meta Platforms advanced around 1.9% and Tesla rose 2.20%. Nvidia's market capitalisation climbed to about $5.76 trillion.

US Treasury yields continued to rise despite the equity rally. The 10-year Treasury yield reached 5.35% during the session and settled around 5.31%, its highest level since April 2002. The 30-year Treasury yield also rose to around 5.7%, reaching its highest level in nearly 24 years.

Crude oil prices steadied on Tuesday after falling nearly 2% on Monday as increased Middle East exports and additional supply commitments eased concerns over shortages. Brent crude had settled around $100.32 a barrel on Monday.

The Federal Reserve?s minutes from its September meeting, due Wednesday, will be closely watched for clues on how policymakers view inflation and the softer labor market.

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