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The broader NSE index closed 1.9 percent higher at 10,421.40, while the benchmark BSE index was up 1.83 percent at 33,917.94.
The NSE index climbed as much as 2 percent in its biggest intraday percentage rise since March 14, 2017.
All but three stocks closed lower on the Nifty 50 index, with Bharti Airtel Ltd and ITC Ltd among the top percentage gainers. ITC ended up 4.2 percent, while Bharti Airtel closed 4.8 percent higher.