The S&P BSE Sensex and NSE Nifty 50 indexes rose for fifth day in a row on Tuesday led by gains in banking, financial services and information technology shares. For most part of the day, the benchmarks swung between gains and losses and switched direction at least five times during the session. However, buying in Infosys, ICICI Bank, Bajaj Finance, HDFC, Axis Bank and IndusInd Bank helped the benchmarks close at fresh four-month highs.
Sensex advanced 187 points or 0.5 per cent to close at 36,675 and Nifty climbed 36 points to end at 10,800.
Rally in the markets came despite rising COVID-19 cases in the country.
Coronavirus cases in the country jumped to 719,665 by Tuesday morning, including 20,160 deaths, health ministry data showed. India on Monday overtook Russia to become the third-most affected country by the novel coronavirus.
Meanwhile, six of 11 sector gauges compiled by the National Stock Exchange ended higher led by the Nifty Bank and IT indexes 2 per cent gain. Auto, financial services and media shares also witnessed buying interest.
On the other hand, metal, infrastructure and energy shares witnessed selling pressure.
Mid- and small-cap shares also witnessed buying interest as Nifty Midcap 100 index rose 0.4 per cent and Nifty Smallcap 100 index rose 1 per cent.
Bajaj Finance was top Nifty gainer, the stock rose 8 per cent to close at Rs 3,350. IndusInd Bank, Bajaj Finserv, Eicher Motors, ICICI Bank and Infosys also rose between 3.4-5.6 per cent.
On the other hand, Adani Ports, Power Grid, Grasim Industries, BPCL, ITC, NTPC, Vedanta, Tata Steel and Coal India were among the losers.