The stock market saw a significant increase, with the Sensex closing at 79,117.11, up 2.54 percent, and the Nifty ending at 23,907.25, up 2.39 percent.

This rise was driven by strong performances in sectors such as IT, PSU banks, FMCG, energy, and realty. Market analysts noted that the rally was a result of short covering in underperforming sectors and sustained strength in outperforming ones.

Around 50 percent of the Nifty remained resilient in recent weeks, while the other half was oversold. The state election outcomes could further stabilize the markets or lead to a reversal of the rally.