Benchmark indices surged in trade, as the government eased eased curbs for the lockdown, even as lockdown in the containment zones was extended till June 30.
The IMD also retained its forecast for normal monsoon this year saying that conditions are becoming favourable for good rains. This too helped sentiments today.
Markets ignored rising Covid 19 cases in the country, even as cases spiked to 1.90 lakhs and Indian infections reached the seventh highest in the world.
The Sensex closed the day higher by 879 points, while the Nifty rallied 245 points in trade. Bajaj Finance and Bajaj Finserv were among the top gainers in trade from the Nifty. Banking stocks do gained sharply with the Bank Nifty gaining almost 3.5 per cent in trade. Gains were led by the heavyweights HDFC Bank and ICICI Bank.
Government owned banks also saw solid gains in trade with Bank of India, Canara Bank and Bank of India among the big winners.
Shares in Amara Raja Batteries reacted positively to its results and ended the day higher. The battery-maker reported a 15.3% growth in its net profit for the period ending March 2020.
Meanwhile, Dow Futures were pointing to a slightly lower openings for the US markets.