Mumbai: The markets registered strong gains on a sharp fall in crude oil prices with the BSE benchmark index moving up 551 points by close to 15,050 levels.
In broader markets, the Nifty gained 155 points to 4,504 levels.
Oil prices slipped to $106 a barrel in electronic trading on the New York Mercantile Exchange as Hurricane Gustav weakened and spared key US energy installations.
Back home, a decline in oil prices triggered a rally in banking scrips on hopes of lower inflation and stable interest rates. The banking index moved up over 6% by close with Kotak Mahindra Bank flaring 9.6%.
Axis Bank, Canara Bank, Indian Overseas Bank, Punjab National Bank, State Bank of India, ICICI Bank, Union Bank of India and HDFC Bank also logged smart gains.
Orbit Corporation (16.8%), HDIL (up 16.3%), Indiabulls Real Estate (9.6%), Unitech Limited (7.1%), DLF Limited (7.1%), Peninsula Land 5.7%) and Sobha Developers (6.2%) were some of the notable gainers in the realty pack.