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Benchmark indices Sensex and Nifty rebounded on Tuesday on buying in banking, financial services and IT sector stocks.
The 30-share BSE Sensex surged 482.70 points or 0.68 per cent to settle at 71,555.19.
The gauge moved between the day's high of 71,662.74 and a low of 70,924.30 during intra-day.
The broader NSE Nifty also soared 127.20 points or 0.59 per cent to close at 21,743.25.
As many as 25 stocks of the 30-share barometer settled in green while 11 constituents of Nifty50 closed the session with losses.
ICICI Bank, Axis Bank, Wipro, Kotak Mahindra Bank and NTPC were among the major gainers in the Sensex pack.
The five stocks that defied the trend included UltraTech Cement, Mahindra & Mahindra, Titan, Tata Motors and Nestle.
BSE smallcap index inched up 0.18 per cent while midcap and largecap indices closed with a gain of 0.61 per cent each.
In Asia, Tokyo's Nikkei 225 and China's Shanghai Composite settled in the positive territory while Hong Kong's Hang Seng was in the red.
The US market ended Monday's session on a mixed note.
Global oil benchmark Brent crude rose 0.78 per cent to $82.64 a barrel on Tuesday.
Foreign Institutional Investors (FIIs) were net buyers as they bought equities worth Rs 126.60 crore, according to exchange data.