Snapping a four-day falling streak, the BSE benchmark index Sensex on Tuesday recovered by 285 points on funds buying in bluechips, led by Reliance Industries, amid firming global trends as oil prices declined.
The 30-share barometer, which had lost 977 points in last four trading sessions, spurted by 285.37 points, or 1.64 per cent to 17,731.12 points.
Brokers said easing crude oil prices raised hopes of a stable global economic recovery and cut in policy rates by the Reserve Bank of India which lifted the market.
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The rally was headed by refinery, finance and interest-sensitive stocks like realty and capital goods.
A firming trend in the Asian region and higher opening in Europe boosted by retreating oil prices and positive numbers from the US further supported the market.
The broad-based National Stock Exchange index Nifty rose by 94.30 points, or 1.79 per cent to 5,375.50.
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The most—heaviest on the benchmark and oil refining major Reliance Industries spurted by 1.90 per cent to Rs 796.05, ONGC by 1.02 per cent to Rs 283.55 and Gail India by 0.99 per cent to Rs 374.05 as investors felt a fall in crude oil prices might improve corporate earnings.
Among lenders, Bank of India rose by 4.92 per cent to Rs 2,229.55, Canara Bank by 8.77 per cent to Rs 516.40, Yes Bank by 9.14 per cent to Rs 348.80, HDFC Bank by 3.29 per cent to Rs 530.20 and ICICI Bank by 2.69 per cent to Rs 910.75.
The realty sector index gained the most by rising 5.91 per cent to 1,934.37 as HDIL spurted by 13.77 per cent to Rs 112.75, DB Realty by 10.40 per cent to Rs 80.70 and DLF by 4.78 per cent to Rs 225.85 as a decline in interest rate might boost sale of homes.
The capital goods sector index was second runner up by adding 4.02 per cent to 10,595 followed by banking index by 3.93 per cent to 12,045.11.