REUTERS - Indian stock markets rose nearly 2 percent to their highest level in nearly 11 months on Monday, tracking a rally in global markets after strong U.S. monthly jobs data reassured investors about the health of the world's largest economy.
The U.S. economy added 287,000 jobs last month, the highest total in eight months, smashing the consensus forecast of 175,000.
Investors now focus on corporate earnings, which they expect to be largely positive, for further direction. Blue chips Tata Consultancy Services Ltd and Infosys Ltd are scheduled to report their quarterly results later this week.
They also hope that the government would be able to pass a revamped goods and services tax bill in the monsoon session of parliament which starts on July 18.
"Besides earnings, investors are also betting on prospects of the goods services tax (GST) bill getting passed, monsoon progress and positive fund flows," said Gaurang Shah, vice president, Geojit BNP Paribas Financial Services.
The broader NSE Nifty rose as much as 1.74 percent, while the benchmark BSE Sensex gained as much as 1.83 percent. Both indexes hit their highest levels since Aug. 20, 2015.
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Banks were among the leading gainers, with the Nifty Bank Index up 1.83 percent. Bank of India rose 3.2 percent, while ICICI Bank Ltd advanced 3.1 percent.
Midcaps also rallied, with the NSE midcap 100 index rising to a record high.
Bajaj Finance Ltd rose as much as 6.2 percent to a record high, after the company said it would consider sub-division of equity shares. https://bsmedia.business-standard.combit.ly/29yqFi7
Sun Pharmaceutical Industries Ltd gained as much as 1.7 percent after the company said it launched its ready-to-administer cancer drug, Gemcitabine InfuSMART, in Europe. http://bit.ly/29Ou13Q
Auto maker Tata Motors Ltd rose as much as 4.4 percent, after the company on Friday posted a 21 pct rise in global vehicles wholesales for June.
(Reporting by Samantha Kareen Nair in Bengaluru; Editing by Subhranshu Sahu)