Equity benchmarks surged on Tuesday, extending their gains for the third day in a row, driven by a broader risk-assets rally after a dramatic U-turn in British fiscal policy brightened investor sentiment.

Stocks were also helped by the strength of Asian peers and overnight advances on Wall Street driven by improvement in risk sentiment led by strong corporate earnings updates.

The 30-share Sensex index jumped 549.62 points to end at 58,960.60, and the broader NSE Nifty-50 index climbs 175.15 points to 17,486.95, with both benchmarks extending their rally for the third straight day.

In the previous session, the Sensex index gained 491.01 points to end at 58,410.98 points, and the Nifty rose 126.10 points to 17,311.80 points, reversing losses in early Monday trade.

Asian stocks rose, and the dollar declined to its lowest levels in more than a week as the relief rally continued to gain steam after the S&P 500 rallied to close above a key technical level.

“Indices were all up by 1 per cent as Dow futures were up by 233 points. Oil was relatively range-bound, hovering between $92-93 per barrel. Most global Indices ended in the green,” said Anil Kumar Bhansali, Head of Treasury at Finrex Treasury Advisors.