Indian stock market: Neither gold nor silver! Experts see this theme to give a whopping return in 2026

The year 2025 has been all about gold and silver, as both metals gained momentum by delivering spectacular returns. Gold has jumped almost 66% to move past $4,500 an ounce, while silver has delivered even stronger gains of 171%, driven by safe-haven flows, heavy central bank purchases, and tightening industrial supplies.

On the other hand, the Indian stock market has been in a base-building mode for the last one and a half years, according to market experts.

Market experts believe that the upcoming Union Budget 2026 holds the key to driving the Indian stock market to new record levels. Last year, the Indian stock market witnessed sharp volatility on budget day. The BSE Sensex surged over 300 points following the announcement of tax relief measures, but later pared gains to slip about 130 points. The Nifty 50 also moved up during the session, highlighting the market’s mixed response to the budget proposals.

Amit Goel, Chief Global Strategist at PACE 360, believes that Nifty is going to touch 28,100 ahead of the Union Budget 2026. “ The Indian stock market has been in a base-building mode for the last one and a half years. I expect a spectacular year ahead for equity investors with a long-term perspective. However, this won't be FII-driven but DII-driven. However, the Union Budget 2026 holds the key. However, in any case, the Nifty 50 is going to touch 28,100 ahead of the Union Budget 2026,” Goel said.

Sectors to remain in focus in 2026

Goel further said that one should consider consumer-centric stocks, particularly in the consumer durables, automotive, real estate, electronics, and other related sectors.

“ If the Union Budget includes proposals that are consumer-centric, then the Nifty 50 index may reach 32,000,” he added.

On the other hand, Seema Srivastava, Senior Research Analyst at SMC Global Securities, believes that consumption-linked sectors are emerging as a powerful driver, aided by rising disposable incomes, improving rural demand, and policy tailwinds.

Stocks to buy in 2026

Further talking about the stocks to remain in focus, Srivastava said that the auto and consumer discretionary names like Uno Minda , Tata motors commercial vehicle, Mahindra & Mahindra stand to gain from recovery in passenger vehicles, SUVs, and rural-focused segments.

FMCG leaders such as Hindustan Unilever and Britannia offer steady earnings visibility and defensive stability in volatile phases. Infrastructure, Defense and capital goods form another important pillar, with companies like BEL, JSW Infra, Larsen & Toubro enjoying strong order books and long-term execution visibility, she added.

Disclaimer: This story is for educational purposes only. Please consult with an investment advisor before making any investment decisions.