Sensex closes 358 points higher at 50,614; Nifty ends session at 14,895

India’s primary stock indexes extended a post-budget rally to 4 sessions and closed at record highs, as State Bank of India beat quarterly profit estimates and helped the bank index reverse losses.

The NSE Nifty 50 index rose 0.7% to 14,895.65, whereas the benchmark S&P BSE Sensex was up 0.7% at 50,614.29. Each the indexes touched record intra-day highs earlier within the session after rising as much as 0.84% and 0.86% respectively.

Investors are also waiting for the central bank’s financial policy decision on Friday when rates are anticipated to be held at record lows.

The indexes have been trading lower in the morning as bank shares have been in the red.

“The early market opening noticed some hesitation from buyers as the market bounced from 13,680 degree to 14,700 in two days,” mentioned Rahul Sharma, market strategist and head of research at Equity99 markets.

The Nifty Bank index, which slipped as much as 1.5%, closed 1.7% higher and drew support from a 6.6% surge in shares of State Bank of India. The nation’s largest lender beat quarterly profit estimates as its retail lending growth recovered to pre-pandemic levels.

“But since the indexes did not go down something like 1-2%, which normally has been happening in the last two months, the buyers rushed back, driven by a favorable budget and global indexes” Sharma added.

Shares of motorcycle maker Hero MotoCorp rose 1.8% ahead of its outcomes, while the benchmark auto index gained 1.1%.

Cigarette maker ITC Ltd advanced 6.1% as the top percentage gainer on the Nifty.