India back among world’s top 5 biggest stock markets; value climbs to $5.4 trillion
The rally has lifted the market’s total value to approximately $5.4 trillion, allowing India to overtake Taiwan. The shift in global investment flows has also set India apart from other markets. While overseas investors are returning to Indian equities, Taiwan recorded its highest-ever foreign fund outflows in October as AI-linked stocks came under a worldwide selloff.
India has reclaimed its spot among the world's top five largest stock markets by value, with its market capitalization reaching approximately $5.4 trillion. This resurgence comes after a record rally in Indian equities over the past ten trading sessions. The indices have surged nearly 12%, erasing losses stemming from a potential US-Iran war.
The rally is being driven by a combination of factors, including a decrease in investor enthusiasm for AI-related stocks, a drop in oil prices, and improved corporate earnings for the July-September quarter. Bank of America and Moody's have both upgraded their growth forecasts for India's economy in the third quarter of 2026, projecting a 7.7% and 7% year-on-year increase, respectively.
The shift in global investment flows has set India apart from other markets, as overseas investors are returning to Indian equities while Taiwan recorded its highest-ever foreign fund outflows in October due to a selloff in AI-linked stocks.
Written by urgent.news from Times of India's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
