After 7 weeks of correction, #Bulls roared back to life, delivering a stunning rebound and shrugging off fears, including Gautam Adani's bribery case, which rattled investors on November 21.

Benchmark indices surged, with the Sensex gaining 1,700 points and the Nifty rising 491 points, marking their biggest single-day rally in five months as renewed buying swept across all sectors, fuelling the dramatic turnaround.

At close, the Sensex was up 1,961.32 points or 2.54 percent at 79,117.11, and the Nifty was up 557.40 points or 2.39 percent at 23,907.30. About 2,333 shares advanced, 1,430 shares declined, and 113 shares unchanged.

During the afternoon, all 13 sectors rallied, with PSU Bank, Realty, Infra, and IT being the brightest sparks in trade, posting gains of up to 3 percent. Public sector lenders, which took a beating yesterday due to fears of exposure to the Adani Group, rebounded after clarity emerged on their limited risk.

The IT index surged nearly 3 percent, extending its impressive 28 percent rally since the start of the year. Boosting sentiment was favourable US labour market data, which revealed a drop in jobless claims by 6,000 to a seasonally adjusted 213,000 for the week ending November 16—a seven-month low. The data indicates a potential rebound in US job growth for November, following last month's slowdown caused by hurricanes and strikes.

Other gainers include Nifty Bank, FMCG, Pharma, and Healthcare also jumped in trade today, rallying just shy of 2 percent each.

Index heavyweights like Reliance Industries notched up 3 percent in trade, buoyed by international brokerages Morgan Stanley and JPMorgan reaffirming their bullishness on the diversified conglomerate with 'overweight' ratings. According to JPMorgan, one of two drivers of Reliance Industries' recent underperformance—weak refining margins—has started to reverse. The other driver, lower retail sales growth, remains under scrutiny.

India's largest public sector lender State Bank of India soared over 4 percent after Jefferies reiterated its "buy" rating with a target price of Rs 1,030. This suggests a potential 29 percent upside from current levels. The brokerage identified SBI as its top sector pick, emphasising the scope for improvement in the loan-to-deposit ratio (LDR) as deposit mobilisation gains momentum.

Fintech player Paytm was buzzing in trade, rising almost 6 percent in the afternoon and extending gains for a fifth trading session, after Bernstein recently dished out a positive call on the fintech player. The international brokerage reaffirmed its bullishness on Paytm as the narrative for the beleaguered fintech player changes from survival to optimism.

In a remarkable reversal, most of the Adani Group stocks turned positive and climbed as much as 3-4 percent after the previous day’s massive sell-off triggered by bribery charges in the US against Gautam Adani.

In the broader market, mid-cap and small-cap indices mirrored robust overall trendings, rising 1.3 percent and 0.9 percent, respectively.

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