Snapping its three-session losing streak, equity benchmark Sensex rose 209 points on Thursday following gains in Tata Steel, SBI and Reliance Industries amid a positive trend in global markets.
The 30-share BSE index climbed 209.36 points or 0.40 per cent to close at 52,653.07, while the broader NSE Nifty advanced 69.05 points or 0.44 per cent to 15,778.45.
Tata Steel was the top gainer in the Sensex pack, rallying nearly 7 per cent, followed by Bajaj Finserv, SBI, HCL Tech, Sun Pharma, Bajaj Finance and Reliance Industries.
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On the other hand, Maruti, PowerGrid, Bajaj Auto and ITC were among the laggards.
"Domestic equities recovered as positive global cues and strong buying in metal and IT stocks supported markets," said Binod Modi, Head - Strategy at Reliance Securities.
Further, short-covering in select heavyweights also aided rebound. Auto, FMCG and pharma remained sluggish, while most key sectoral indices traded in green.
Notably, strong buying was seen in quality mid-cap and small-cap stocks after the recent fall, while volatility index contracted by 5 per cent, he added.
Elsewhere in Asia, bourses in Shanghai, Hong Kong, Tokyo and Seoul ended with gains.
Equities in Europe were also trading on a positive note in mid-session deals.
Meanwhile, international oil benchmark Brent crude advanced 0.43 per cent to USD 74.19 per barrel.
Rupee Gains 9 Paise To Close At 74.29 Against US Dollar
The Indian rupee gained 9 paise and settled for the day at 74.29 (provisional) against the US dollar on Thursday, supported by a firm trend in domestic equities and weak American currency.
At the interbank forex market, the local unit opened at 74.32 against the greenback and witnessed an intra-day high of 74.22 and a low of 74.34.
It finally ended at 74.29 against the American currency, registering a rise of 9 paise over its previous close.
On Wednesday, the rupee had settled at 74.38 against the US dollar.
"Indian rupee appreciated as global risk sentiments rebounded, while safe haven dollar declined reacting to the dovish Federal Open Market Committee (FOMC)," Dilip Parmar, Research Analyst, HDFC Securities said, adding that FOMC outcomes favoured the risk sentiments as they are not in rush to scale back asset purchases at-least for next two meetings.
"Spot USDINR is expected to trade with negative bias following weaker dollar index, risk sentiment and strong dollar inflows from initial public offering. The pair is expected to hold support at 74.15 and get resisted around 74.60," he noted.
Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, dipped 0.30 per cent to 92.04.
Brent crude futures, the global oil benchmark, rose 0.39 per cent to USD 75.03 per barrel.
Meanwhile, foreign institutional investors were net sellers in the capital market on Wednesday as they offloaded shares worth Rs 2,274.77 crore, as per exchange data.
Gold Rallies Rs 382; Silver Zooms Rs 1,280
Gold in the national capital on Thursday rallied by Rs 382 to Rs 46,992 per 10 gram amid a jump in international precious metal prices, according to HDFC Securities.
In the previous trade, the precious metal had closed at Rs 46,610 per 10 gram.
Likewise, silver also jumped Rs 1,280 to Rs 66,274 per kilogram, from Rs 64,994 per kilogram in the previous trade.
HDFC Securities Senior Analyst (Commodities) Tapan Patel said, "Spot gold prices for 24 karat in Delhi rallied by Rs 382 reflecting gains in COMEX (New York-based commodity exchange) gold prices."
In the international market, gold was trading with gains at USD 1,817 per ounce and silver was marginally higher at USD 25.42 per ounce.
Motilal Oswal Financial Services Vice-President (Commodities Research) Navneet Damani said, "Gold price edged higher, as the latest insistence from the US Fed governor that rate increases aren't on the radar, put pressure on the dollar and support the safe-haven asset."