Stock Market: Sensex Surges 1,564 Points, Nifty Settles Above 17,750; Banking, IT Stocks Lead

Stock update:All the 30-share Sensex components ended in the green, with Bajaj Finserv rallying 5.47 per cent followed by Bajaj Finance which jumped 4.86 per cent

After a drastic fall on Monday, Sensex and Nifty, the two key equity benchmarks, bounced back on Tuesday.

The two domestic indices clocked their biggest intra-day gain since May 20 as broad-based buying emerged across sectors. Sensex and Nifty soared over 2.5 per cent, logging their best single-day gain in more than three months after value buying in banking, IT, and oil stocks.

The BSE Sensex surged 1,564 points (2.70 per cent) to settle at 59,537. During the day, it zoomed 1,627 points to 59,599. On the other hand, the broader NSE Nifty advanced 446 points (2.58 per cent) to 17,759.

All the 30-share Sensex components ended in the green, with Bajaj Finserv rallying 5.47 per cent followed by Bajaj Finance which jumped 4.86 per cent. IndusInd Bank, Tech Mahindra, ICICI Bank, Kotak Mahindra Bank, Tata Steel, and HDFC were among the other major winners.

The broader markets underperformed the frontline indices and managed to end over 1 per cent higher each.

The BSE MidCap index added about 2 per cent, while the BSE SmallCap index gained 1.3 per cent.

Sectorwise, it was a sea a green on the bourses led by the Nifty Financial Services index (up 3.5 per cent), the Nifty Realty index (3.4 per cent), the Nifty Bank index (3.3 per cent), and the Nifty IT, and Auto indices (2.6 per cent each).

Elsewhere in Asia, markets in Seoul and Tokyo ended in the green, while Shanghai and Hong Kong settled lower. Stock markets in Europe were trading higher during mid-session deals. The US markets had ended lower on Monday.

In the previous session on Monday, the BSE benchmark tanked 861 points (1.46 per cent) to settle at 57,972 points, while the Nifty fell 246 points (1.4 per cent) to 17,312 points.

“Today’s rebound indicates the domestic economy's resilience in comparison to its global peers. Although the markets are currently at premium valuations, continued support from foreign investors aided domestic stocks to inch higher,” said Vinod Nair, head of research, Geojit Financial Services.

Meanwhile, the international oil benchmark Brent crude declined 2.60 per cent to $102.52 per barrel.

Foreign institutional investors (FIIs) offloaded shares worth Rs 561.22 crore on Monday, according to exchange data.