Equities staged a smart rebound on emergence of value buying across-the-board with the benchmark Nifty soaring by a whopping 132 points to reclaim the 7,800-mark even as corporate earnings remained firmly in the spotlight for investors.
Market sentiment turned suddenly bullish after trading sideways for the past few trading sessions as investors went on rotational chasing of beaten-down and low-valuation blue-chip stocks prompting traders to cover their shorts.
Despite reeling from a slew of big-name earnings misses, reporting season so far has been better-than-expected added comfort to the overall mood.
Expectations of good monsoon alongwith macroeconomic improvement further bolstered investors mood.
The Federal Reserve also signaled that it's in no rush to raise rates also weighed on trade.
After a strong start, key indices maintained its bullish ascent throughout the session as investors and traders scrambled to buy growth-oriented stocks after recent corrections.
Meanwhile, domestic passenger car sales increased 1.87 per cent to 1,62,566 units in April as against 1,59,588 units in the year-ago period, while motorcycle sales last month rose by 16.24 per cent to 10,24,926 units from 8,81,743 units a year earlier.
Elsewhere in Asia, equities displayed a mixed trend even as crude prices rallied on supply concerns in Canada and a surprise over the exit of Saudi Arabia's oil minister amid sluggish macro data from China over the weekend.
The 50-share index resumed higher at 7,755.25 and touched a high of 7,873.65 and a low of 7,753.55 before ending at 7,866.05, revealing a smart rise of 132.60 points, or 1.71 per cent, over its last finish.
On the sectoral front, Nifty PSU Bank outperformed the rest, suring 2.55 per cent. It was followed by Nifty Bank (2.39 per cent), Realty (1.92 per cent), Infra (1.81 per cent), Auto (1.45 per cent), FMCG (1.18 per cent), Energy (1.15 per cent), IT (0.91 per cent), Pharma (0.56 per cent) and Metal (0.43 per cent).
The Mid-cap and Small-cap coounters too attracted huge buying interest with respective indices gaining by 1.10 and 1.90 per cent.
Stocks specific gainers from index included HDFC, HDFC Bank, ITC, ICICI Bank, Infosys, L&T, Bosch, Axis Bank, TCS, Reliance, ZEE, SBI, Yes Bank, Bajaj Auto, Bharti Infratel, Tata Motors, Kotak Mahindra and Bharti Artel.
However, HUL topped the losers list despite better than expected 7.02 per cent rise in standalone net profit at Rs 1,089.59 crore for the Q4. Other key losers are Dr Reddy's, Idea, HCL-Tech, BPCL and Cipla.
Turnover in cash segment rose to Rs 16,154.50 crore compared with Rs 13,536.81 crore last Friday.
