Meanwhile, optimism over a potential U.S. government reopening, progress on a U.S.-India trade deal, and strong corporate earnings underpinned market confidence. Investor sentiment was further buoyed by exit polls indicating an NDA victory in Bihar, reinforcing expectations of policy continuity and stability.

The barometer index, the S&P BSE Sensex added 12.16 points or 0.01% to 84,478.67. The Nifty 50 index rose 3.35 points or 0.01% to 25,879.15. In four consecutive trading sessions, the Sensex rose 1.51% while the Nifty added 1.51%.

In the broader market, the S&P BSE Mid-Cap index shed 0.34% and the S&P BSE Small-Cap index fell 0.30%. The market breadth was negative.

The NSE's India VIX, a gauge of the market's expectation of volatility over the near term, rose 0.43% to 12.16.

Among the sectoral indices, the Nifty Metal index (up 0.44%), the Nifty Realty index (up 0.42%) and the Nifty Pharma index (up 0.41%) outperformed the Nifty 50 index.

Meanwhile, the Nifty PSU Bank index (down 0.68%), the Nifty Media index (down 0.55%) and the Nifty FMCG index (down 0.51%) underperformed the Nifty 50 index.

Indian Economy:

India's cabinet has approved spending Rs 45,060 crore ($5.1 billion) on support for exporters, including Rs 20,000 crore in credit guarantees on bank loans, Information Minister Ashwini Vaishnaw said on Wednesday.

The plan includes the allocation of Rs 25,060 crore over six years for affordable trade finance for small exporters, logistics, and market support under an export promotion package to help offset the impact of recent U.S. tariff hikes.

Meanwhile, India’s retail inflation slowed to a record low of 0.25% in October against 1.54% in September, as food prices fell sharply and tax cuts brought down the prices of items from cars to products in daily use.

This marks the fourth consecutive month that inflation has stayed below the Reserve Bank of India’s (RBI) medium-term target of 4% and has been lower than the central bank’s tolerance ceiling of 6% for seven straight months.

Food prices, which account for nearly half of the Consumer Price Index (CPI) basket, fell 5.02% year-on-year in October against a revised fall of 2.33% in September, the lowest of the current CPI series.

Numbers to Track:

The yield on India's 10-year benchmark federal paper advanced 0.49% to 6.515 from the previous close of 6.498.

In the foreign exchange market, the rupee edged lower against the dollar. The partially convertible rupee was hovering at 88.6825 compared with its close of 88.6250 during the previous trading session.

MCX Gold futures for 5 December 2025 settlement rose 0.92% to Rs 127,625.

The US Dollar Index (DXY), which tracks the greenback's value against a basket of currencies, was down 0.16% to 99.31.

The United States 10-year bond yield advanced 0.12% to 4.070.

In the commodities market, Brent crude for December 2025 settlement advanced 29 cents or 0.46% to $63 a barrel.

Global Markets:

European stocks advanced on Thursday, boosted by the successful signing of a bill ending the longest U.S. government shutdown on record, while the U.K. economy barely grew in the third quarter.

The economy grew 0.1% in the third quarter of 2025, the Office for National Statistics said, slowing from growth of 0.3% in the second quarter. In September alone, the economy contracted by 0.1%.

“Last week the Bank of England said that, in its view, inflation has peaked. Despite narrowly voting to not cut the base rate immediately, the Bank’s Monetary Policy Committee left the door wide open to a December cut,” said James Bentley, director at Financial Markets Online.

“Today’s GDP numbers give the Bank every reason to walk through that door next month. With inflationary fears dissipating, its priority will be kickstarting the UK’s moribund growth - and a December rate cut now looks all but assured.”

Asian shares ended higher after the U.S. government shutdown came to an end following the passage of a short-term funding bill by the U.S. House of Representatives.

The bill now heads to the desk of President Donald Trump, who is set to sign it into law. The White House has scheduled a bill signing in the Oval Office at 9:45 p.m. ET, just hours before the shutdown was set to enter its 43rd day.

Meanwhile, Japan's wholesale prices rose 2.7% in October from a year earlier, slowing from the previous month due in part to falling import costs, central bank data showed on Thursday.

In Australia, the seasonally adjusted October unemployment rate eased to 4.3%, government jobs data showed Thursday. The latest reading was better than the 4.5% figure recorded in September. The better-than-expected decline in October lowers expectations for a rate cut.

On Wall Street, the Dow Jones Industrial Average notched its first record close above 48,000 on Wednesday, extending its gains from the previous session, as Wall Street looked ahead to a potential end to the record-breaking U.S. government shutdown.

The 30-stock Dow closed up 326.86 points, or 0.68%, at 48,254.82. The index also hit a fresh all-time intraday high in the session. The S&P 500 traded around the flatline, settling up 0.06% at 6,850.92, while the Nasdaq Composite dropped 0.26% to finish at 23,406.46.