India's Sensex and Nifty rise on auto‑sector boost and foreign fund inflows

India's benchmark equity indices extended gains on Thursday, with the BSE Sensex closing up 0.35% at 77,928.15 and the NSE Nifty rising 0.28% to 24,317.15. Auto stocks led the rally, driven by Mahindra & Mahindra’s stronger‑than‑expected first‑quarter results, which lifted the sector more than 1%. Blue‑chip names such as Reliance Industries, HDFC Bank, Maruti Suzuki and State Bank of India also posted notable advances.

Foreign Institutional Investors bought equities worth roughly Rs 2,982 crore, providing additional support. Analysts linked the market’s resilience to a firmer rupee, encouraging Q1 FY27 earnings, and to the Federal Reserve’s decision to keep policy rates unchanged, even as higher U.S. bond yields keep inflation concerns alive. Continued West Asian tensions kept oil prices elevated, adding external uncertainty but also favouring commodity‑linked stocks.

Despite the positive close, broader market breadth was mixed, with the Nifty Mid‑Cap and Small‑Cap indices slipping 0.35% and 0.56% respectively. Traders described the session as range‑bound with sharp intraday swings as investors weighed global headwinds against solid domestic fundamentals.