India: Daily Stock Market Performance Insight - February 3, 2026

The Indian equity market witnessed an explosive rally today, driven by a landmark geopolitical development. The BSE Sensex closed at 83,739.13, surging 2,072.67 points or 2.54 percent, while the NSE Nifty 50 settled at 25,727.55, gaining 639.15 points or 2.55 percent. Intraday volatility was high, with the Sensex at one point surging 4.48 percent and Nifty gaining 4.86 percent in early trade. This bullish sentiment was significantly bolstered by the Indian rupee, which appreciated 119 paise to 90.30 against the dollar.

The primary catalyst was the finalized India-US trade deal, which reduces reciprocal tariffs on Indian goods from 25 percent to 18 percent and targets two-way commerce of 500 billion dollars by 2030. This news triggered massive gains in export-oriented sectors of up to 20 percent. Specific outperformers included Adani Enterprises, which rose 10.6 percent, and Adani Ports, which climbed 7.35 percent. On a sectoral level, Nifty Realty surged over 4 percent, while the Chemical, Pharma, and Consumer Durables indices all jumped more than 3 percent.

The Q3 FY2026 earnings season revealed a sharp divergence in performance across industries. PolicyBazaar emerged as a top performer with revenue up 37 percent to 1,771 crore and a 165 percent jump in PAT to 189 crore. Ather also showed operational growth with a 50 percent increase in sales volume to 67,851 units. However, traditional players struggled; Tata Chemicals saw losses widen to 69 crore on a 1 percent revenue decline, and RailTel reported a 4.1 percent decline in net profit to 62.4 crore. Titan Company remained under pressure, recording a weekly negative return of 1.71 percent despite a high trading volume of over 1.27 million shares.

Investors should now monitor the sustained impact of the tariff reductions on mid-cap exporters. While the broad market sentiment is bullish, the widening losses in companies like Tata Chemicals and the profit dip in RailTel suggest that sector rotation might favor high-growth digital and logistics firms over struggling manufacturing units in the near term.