Indices post gains riding on 'Blue' tilt in US Presidential elections

Sensex, Nifty jump 1.8% to close at highest level since February 19

Both domestic and global markets posted their biggest rally in weeks on optimism that a divided US Congress will be favourable for the stock markets and corporate earnings.

The benchmark Sensex rose 724 points or 1.8 per cent to end at 41,340, while the Nifty climbed 212 points, or 1.8 per cent, to end at 12,120. Both indices ended at their highest close since February 19. In intra-day trade, their year-to-date returns moved into positive territory. Most global markets also rallied around two per cent as the US election trends spurred bullish bets.

Ahead of the elections, investors were betting on a