Benchmark indices Sensex and Nifty bounced back on October 4 to close over 2% higher amid positive trends in global equity markets.
The 30-share BSE Sensex spurted 1,276.66 points or 2.25% to settle at 58,065.47. During the day, it zoomed 1,311.13 points or 2.30% to 58,099.94.
The broader NSE Nifty rallied 386.95 points or 2.29% to end at 17,274.30.
Among the 30-share Sensex pack, IndusInd Bank, Bajaj Finance, Tata Consultancy Services, Bajaj Finserv, HDFC, Tata Steel, Larsen & Toubro, Wipro, HDFC Bank and Axis Bank were the major winners.
Power Grid, Sun Pharma and Dr Reddy's were the only laggards.
Elsewhere in Asia, markets in Seoul and Tokyo ended higher after a rally in U.S. shares after some weak economic data raised hopes that the Federal Reserve might ease away from aggressive interest rate hikes.
Stock exchanges in Europe were trading in the positive territory in mid-session deals. The U.S. markets ended significantly higher on Monday.
The BSE benchmark had tumbled 638.11 points or 1.11% to settle at 56,788.81 on Monday. The Nifty fell by 207 points or 1.21% to end at 16,887.35.
Meanwhile, the international oil benchmark Brent crude futures climbed 0.78% to 89.55 per barrel.
Foreign institutional investors turned buyers after remaining net sellers in the recent past and bought shares worth ₹590.58 crore on Monday, according to data available with BSE.
