Mumbai, India (BBN)– The Sensex surged 518 point to close at 28,519 and Nifty rallied 163 points to shut shop at 8,518 after the wholesale inflation fell to its lowest level in nearly 10 years and rupee recovered from two year lows after Chinese currency traded on a firmer note on Friday.
Meanwhile, lower consumer and wholesale prices have bolstered a case for the Reserve Bank of India to cut rates, boosting sentiment on Dalal Street, reports NDTV.
Buying was visible across the board. Gains on the benchmark indices were led by banking shares. The Bank Nifty advanced 3.0 per cent and the PSU bank index rallied 4.6 per cent.
Realty index soared 7.6 per cent; Realty giant DLF ended 18.3 per cent higher at Rs 134.90 after it reported better-than-expected first quarter numbers.
HDIL, Oberoi Realty, Unitech, Indiabulls Real Estate and Prestige Estates were also among the gainers from the real estate space.
Auto, metal, healthcare and power indices also jumped 1.3-2 per cent each.
The broader markets also ended with a positive bias. The BSE mid-cap index advanced 2.4 per cent and small-cap index rose 1.7 per cent.
From the Nifty-50 basket of stocks, 47 stocks advanced while only three stocks declined.
Punjab National Bank, Zee Entertainment, Yes Bank, Bank of Baroda, Kotak Mahindra Bank, ICICI Bank, State Bank of India, Reliance Industries and HDFC were among the gainers, up 3.4-8.7 per cent each.
The overall breadth was positive as 1,791 stocks advanced while 1,054 stocks declined.