The 30-share Sensex soared over 1,600 points to reach a record high of 76,787 points, while Nifty surged more than 450 points during the day. This remarkable rebound in the Indian share market came after the Reserve Bank of India (RBI) decided to keep the policy rate unchanged for the eighth consecutive time.
This surge marks the third straight session of gains following a significant drop on vote counting day. The Sensex has recovered 2,995.46 points, or 4.15%, over the previous two sessions, nearly offsetting the losses incurred earlier in the week.
All Sensex stocks advanced, with Wipro, Infosys, Tech Mahindra, Bajaj Finserv, Tata Steel, and Tata Consultancy Services among the top performers. The RBI's decision to maintain the key lending rate at 6.5% and its commitment to closely monitoring inflation contributed to the market's positive response.
The markets had experienced a nearly 6% fall on the counting day due to the BJP not securing a clear majority in the Lok Sabha elections. However, value buying and optimistic market sentiments led to a strong recovery, with the Sensex regaining the 76,000 level.