Mumbai: The equity markets bounced back sharply from a three-month low on Tuesday as fresh buying in financial sector stocks such as ICICI Bank and HDFC Ltd coupled with short covering in index heavyweights helped the markets to post their biggest single day gain in last five months.
A rally in global stocks, currencies and commodities amidst weakness in the US dollar also helped the domestic markets to maintain their upside momentum throughout the day.
The Sensex vaulted 520.91 points or 1.89 per cent to close the day at 28,050.88 while the Nifty ended the day at 8,677.90, up 157.50 points or 1.85 per cent.
The sentiment of the markets further remained buoyant as the three-day meeting of the GST council began in New Delhi to finalise the main rate of the GST that would pave the way for its implementation in 2017. While the share prices of ICICI Bank soared 4.58 per cent on the BSE, the shares of HDFC and Axis Bank climbed 3.82 per cent and 2.59 per cent respectively. As per the provisional data released, FPIs bought shares worth Rs 354.04 crore.
