Indian equity markets rallied strongly on Monday, with the Sensex surging 473 points as buying across sectors lifted investor sentiment.

The benchmark index closed firmly in the green, supported by gains in banking, IT and energy stocks. The Nifty also ended higher, tracking the positive momentum on Dalal Street.

Analysts attributed the rally to upbeat global cues and strong domestic institutional buying. Positive corporate earnings expectations and easing inflation concerns have also supported the market’s recent run.

Market experts cautioned that investors should watch global developments and upcoming quarterly results for direction. Volatility may persist, but the medium-term outlook for Indian equities remains constructive, they said.

The Sensex gained 472.77 points, or 0.66 per cent, to close at 72,382.47, while the Nifty rose 133.80 points to 22,555.75. The rally snapped an eight-week losing streak — the longest weekly decline in 25 years. Softer US jobs data, a pullback in crude to around $102.4 a barrel and easing rate-hike fears drove the buying. ITC, BSE and Tata Motors led the gainers; HCL Tech and HDFC Bank were among the losers.