Stock markets rebound as India, US begin trade talks; Sensex jumps 595 points

Stock markets rebounded on Tuesday with the benchmark Sensex climbing nearly 595 points on renewed optimism over the resumption of the India-US trade talks.

The 30-share BSE Sensex jumped 594.95 points or 0.73 per cent to settle at 82,380.69 following buying in auto and IT shares. During the day, it surged 657.74 points or 0.80 per cent to 82,443.48.

The 50-share NSE Nifty climbed 169.90 points or 0.68 per cent to 25,239.10.

Chief negotiators of India and the US have commenced talks on the proposed trade agreement to iron out issues in the wake of steep tariffs that have created uncertainties for exporters, an official said on Tuesday.

A rally in Asian and US peers also instilled optimism in the domestic stock market ahead of this week's US Federal Reserve policy meeting.

Among Sensex firms, Kotak Mahindra Bank rose the most by 2.55 per cent. Larsen & Toubro, Mahindra & Mahindra, Maruti, Bharti Airtel and Tata Steel were also among the major gainers.

Asian Paints and Bajaj Finance closed with losses.

The BSE small-cap gauge climbed 0.66 per cent and mid-cap index went up by 0.62 per cent.