Mumbai, April 2 (IANS) The Indian stock market bounced back on Wednesday, with both the Sensex and Nifty closing higher, just before the reciprocal tariffs deadline set by US President Donald Trump.

The rally was driven by a recovery in banking and IT stocks. Sensex surged by 592.93 points, or 0.78 per cent, to close at 76,617.44. During the session, the index moved between an intra-day high of 76,680.35 and a low of 76,064.94.

The Nifty index also mirrored this recovery, rising 166.65 points, or 0.72 per cent, to settle at 23,332.35. It touched an intra-day high of 23,350 and a low of 23,158.45.

Out of the 30 Sensex stocks, 21 ended in positive territory. Zomato, Titan, IndusInd Bank, Maruti Suzuki India, and Tech Mahindra were the top performers, gaining up to 4.75 per cent.

On the other hand, Ultratech Cement, Nestle India, Bajaj Finance, Power Grid Corporation, and Bajaj Finserv were the biggest losers, declining by up to 1.36 per cent.

Midcap and smallcap stocks performed even better than the broader market. The Nifty Midcap100 index jumped 1.61 per cent, while the Nifty Smallcap100 index gained 1.12 per cent.

All sectoral indices on the NSE closed in the green. The Nifty Realty index was the biggest gainer, surging 3.61 per cent. It was followed by Consumer Durables, Banks, and Financial Services, which rose by up to 2.51 per cent.

The market rally comes at a crucial time as investors await the impact of new trade tariffs from April 2 (US time).

“Despite global uncertainties, Indian markets showed resilience, supported by strong buying in key sectors,” said market analysts.

The sentiments were further reinforced by India's manufacturing PMI for March, which reached an eight-month high, hinting at a recovery in Q4 FY25 corporate earnings.

Following a recent correction, the index appears to be finding support around the critical 50 EMA on the daily timeframe,” said Rupak De of LKP Securities.

Rupee remained flat near 85.47 as markets awaited US reciprocal tariff measures and their potential impact on the global economy.