The BSE Sensex rose on Wednesday, recovering from new July lows made intraday, led by gains in private lenders such as ICICI Bank
Hopes of reforms to boost growth after the presidential elections on Thursday helped sentiment in a market grappling with concerns over monsoon rains and forecasts of subdued June-quarter earnings for most companies.
The results of the presidential elections are expected on July 22.
"Most important thing after presidential election is whether the government is in a mood to kickstart reforms process, it needs to be seen if diesel de-regulation will happen or not," said Jagannadham Thunuguntla, head of research at SMC Investments and Advisors Ltd.
India freed pricing of petrol in 2010 but subsidises prices of diesel, kerosene and cooking gas, weighing on public finances.
The 30-share BSE Sensex rose 0.47 percent to 17,185.09 points, marking its biggest single day percentage gain since July 10.
The 50-share Nifty rose 0.45 percent to end at 5,216.30 points.
Public sector banks such as State bank of India fell 0.6 percent, while Punjab National Bank
Bajaj Auto Ltd's
Bank of America-Merrill Lynch initiated coverage of Bajaj Finserv
Bajaj Finserv shares ends 4.7 percent higher.
The midcap drugmaker has demonstrated "strong execution" in the United States, with a portfolio mix focusing on low competition products such as nasal sprays and injectable drugs, said Credit Suisse, which has a target price of 970 rupees on the stock.
Shares in Coal India
TCS rose 0.8 percent and Infosys ended 0.4 percent higher.
Shares in Adani Power