The revival of Adani Group stocks helped India reclaim its position as the world's fifth largest stock market after losing it to France in January. 

As of the previous weekend, India's market capitalization was $3.3 trillion, thanks to a rebound in Adani shares and increased purchases by foreign funds. Last week, France lost more than $100 billion in market value as luxury goods makers such as LVMH Moet Hennessy Louis Vuitton SE and Vivendi SE saw a sell-off due to concerns about a slowdown in China and the United States. 

India is benefiting from China's stuttering economic recovery, which has seen overseas funds shift money away from Asia's largest economy and into Indian stocks. Foreign investors have added $5.7 billion in India stocks since the beginning of April, chasing stable earnings growth and aided by one of the world's fastest GDP growth rates among large economies.

Jefferies Financial Group Inc. strategist Christopher Wood increased the weight of Indian stocks in his Asia Pacific ex-Japan model portfolio last week to reflect the Chinese stock market's disappointments following a strong rally earlier this year.

After briefly entering correction territory in mid-March, the S&P BSE Sensex Index has recovered more than 9%, closing in on record high levels. Adani Group's fortunes improved further after a court-appointed panel found no conclusive evidence of stock price manipulation, as claimed by US short seller Hindenburg Research.

Adani's ten publicly traded entities added around $15 billion to their market value last week, reducing their losses following the Hindenburg report to $105 billion from as high as $153 billion previously.