The BSE benchmark Sensex rebounded to close more than 401 points higher after Tuesday's plunge, as speculators and investors covered short positions in the last session for settling April contracts in derivatives amid fresh buying by funds.
Firming trends in global markets and impressive fourth-quarter earnings by Bharti Airtel also bolstered trading sentiment.
The Sensex, after opening on a strong footing at 11,091.56 points, continued upward and settled 401.50 points, or 3.65 per cent, higher at 11,403.25 points after hitting an intra-session high of 11,430.25.
Similarly, the 50-share National Stock Exchange index Nifty surged by 111.60 points, or 3.32 per cent, at 3,473.95 after moving between 3,366.70 and 3,486.40 points.
Buying was widespread, with the IT, banking, oil and gas, and capital goods sectors leading today's rally.
