New Delhi, Sept. 25 -- India's equity story is gathering momentum again after falling off the peak it reached a year ago. HSBC in its latest report said it expects the Sensex to reach 94,000 points by the end of 2026, 15% higher than Wednesday's close of 81,715.63.

For 2025, the global brokerage retained its target of 85,130 points for the Sensex. The 30-stock benchmark index had reached a lifetime high of 85,978.25 points on 27 September 2024.

HSBC's optimism comes even as foreign investors have pulled out $15.9 billion from Indian equities this year. But with policy support improving and valuations less stretched, its analysts argue India's equity market could be entering a new phase of steady recovery.

The brokerage has also upgrade...