New Delhi, Sept. 7 -- Indian industry's business confidence rebounded in the second quarter of fiscal year 2027 (Q2FY27), as stronger domestic demand, rising capacity utilization, improving margin expectations and robust hiring plans point to a broadening recovery that could revive private investment, according to the Confederation of Indian Industry (CII).

The CII Business Confidence Index (BCI) rose to 66.0 in Q2FY27 (July-September) from 60.8 in Q1, returning to its year-ago level. CII attributed the turnaround primarily to the easing of disruptions stemming from the West Asia war.

The outlook also strengthened. The Expectation Index jumped to 67.7 from 60.6, well above the Current Situation Index, which rose to 62.6 from 61.2. The g...