The Bombay Stock Exchange Sensex surged 165 points on Thursday, while the National Stock Exchange Nifty regained the 7,800-mark. The Sensex extended its rising streak for the fourth consecutive session after the United States Federal Reserve hiked its interest rates for the first time in almost a decade.

The 30-share barometer was at 25,659.32 after gaining about 350 points in the previous three sessions, reported PTI. The Nifty, meanwhile, gained 49.25 points. Brokers attributed the rise to continued buying by retail investors following the overnight rally in US markets.

The Indian Rupee also appreciated by 13 paise to be at 66.60 against the US dollar in early trade. This was attributed to the increased selling of the American currency by exporters. The rupee had jumped by 19 paise to close at a one-week high of 66.73 against the US dollar on Wednesday amid rising equities.

Chief economic adviser Arvind Subramanian told Reuters that volatility in Indian markets should be minimal after the US Fed hike as the country is relatively well cushioned.