The BSE benchmark Sensex on Thursday regained the psychological 16,000-point level and closed higher by 274 points, its biggest single-session gain since March 30, as stocks of oil and banking sectors led gains amid a recovery in the rupee from its record lows.
The 30-share barometer, after losing 235 points in the past two trading sessions, bounced back to regain 16,000-point level to close at 16,222.30, showing a rise of 274.20 points or 1.72%. Out of the 30 Sensex stocks, 24 scrips ended higher.
ONGC with 5.74% gains led the Sensex rally, followed by Bharti Airtel (5.62%) and HDFC (4.38%).
Brokers said moderate recovery in the rupee from intra-day lows of Rs. 56.38 and a steep hike in petrol prices of Rs. 7.54 per litre by oil marketing companies that would lower their subsidy burden mainly buoyed the trading sentiments.
Further, a higher opening in the European markets also had a positive impact on trading mood, dealers said.
All the 13 sectoral indices, led by banking and oil and gas, ended in the positive territory with gains up to 2.33%.
Similarly, the broad-based National Stock Exchange index Nifty regained the key 4,900 level and closed 85.75 points, or 1.77% higher at 4,921.40.
Among state-run oil companies, BPCL gained 0.55% to Rs 725.90, ONGC 5.74% to Rs. 256.95, Oil India by 0.80% to Rs. 452.60 and GAIL India by 0.43% to Rs. 325.35. Shares of Reliance Industries also ended 1.35% higher at Rs. 696.45 apiece.
Meanwhile, rupee strengthened by 18 paise to trade at 55.82 against the American currency on the Interbank Foreign Exchange market in pre-close trade on Thursday on selling of the dollar by banks and exporters.