Positive global cues along with rising risk appetite aided the equity markets to break the three session long losing streak on Monday.
Accordingly, the NSE Nifty50 scored the biggest one day gain in two months.
Initially, both the key indices opened higher and rose through the day with a brief correction in early afternoon.
Besides, almost all sectors ended in the green with the sole exception of FMCG.
Globally, markets traded higher on Thursday ahead of the European Central Bank meeting for a second day as optimism about an economic recovery appeared to outweigh concerns over rising coronavirus cases and inflation.
ALSO READ | SEBI chief says IPOs like Zomato show maturity of Indian market
Consequently, the S&P BSE Sensex closed at 52,837.21, higher by 638.70 points, or 1.22 per cent, from its previous close.
The Nifty50 on the National Stock Exchange closed at 15,824.05, higher by 191.95 points, or 1.23 per cent, from its previous close.
"Nifty is on the cusp of the downgap area formed on July 19," said Deepak Jasani, Head of Retail Research at HDFC Securities.
"If this downgap is filled and we move above 15,883, then the path to further upmove opens up towards 15,915-15,962 band."
