With a 304-point gain, sensex closed at 39,879 points — an over seven-month high — as Reliance Industries, IT and financial stocks gained despite a last-minute sell-off in the US on Tuesday night.
The sensex has gained over 3,300 points or 9% since its recent closing low of 36,554 on September 24. These gains have come on the back of stimulus hopes in India and expectations of a favourable Supreme Court order on how bank customers will pay interest on loans for the six-month moratorium period.
In the last few weeks, software stocks have rallied on hopes that the worst phase for these companies in terms of business downturn is over. The upturn was led by the industry leaders like TCS, Infosys and Wipro. Financial and banking stocks have rallied on expectations of a positive judgment from the apex court. Reliance has been notching up gains on the back of it offloading stakes in its retail arm, market players said.