Indian benchmark indices halted their six-day losing streak – the longest since July 25 – as the BSE Sensex surged 1.7% or 645.97 points to close at 38,177.95, while the National Stock Exchange Nifty 50 rose 186.90 points to end at 11,313.30. The indices had fallen almost 4% in the previous six sessions.

Ten of the 11 sectoral indices compiled by the National Stock Exchange ended higher, led by the NSE Nifty Bank Index’s 3.7% gain. The NSE Nifty IT Index was the only sectoral loser, down 0.7%.

Banks such as HDFC Bank, ICICI Bank, Kotak Mahindra Bank, State Bank of India, HDFC and IndusInd Bank led the gains. A decline in oil prices, recoveries in the Nifty auto, metal, pharma and realty indices, and the government’s decision to increase dearness allowance by five percentage points to 17% also boosted market sentiment, Moneycontrol reported.

IndusInd Bank, Bharti Airtel, ICICI Bank and SBI were the top gainers on the two indices while Yes Bank, Hero MotoCorp and HCL saw their shares decline the most.