The Sensex posted its biggest daily percentage gain in almost two weeks on Friday, as interest rate-sensitive stocks such as State Bank of India rallied on expectations the Reserve Bank of India will ease monetary policy next week.
Maruti Suzuki India Ltd rose four per cent after the country's biggest carmaker said its third-quarter profit more than doubled while posting healthier operating margins than expected.
Shares in banks, auto makers, and property developers have rallied since last month on expectations RBI will start cutting interest rates this year, starting with the policy review on Tuesday.
The Sensex rose 0.9 per cent, or 179.75 points, to end at 20,103.53, its biggest daily gain since January 14.
The Sensex gained 0.32 per cent for the week, its second weekly gain in three weeks.
|BSE SECTORAL INDICES|
|Oil & Gas||9,535.84||0.39|
|&Change over previous close |
Compiled by BS Research Bureau
The Nifty rose 0.92 per cent, or 55.30 points, to end at 6,074.65, and rose 0.17 per cent for the week.
Banks were among the leading gainers for the day. State Bank of India rose 2.22 per cent, while ICICI Bank Ltd gained 0.73 per cent. Bank of Baroda surged five per cent and Bank of India gained 4.5 per cent on valuations that were considered attractive after profit concerns hit the shares earlier this month.