Indian benchmark indices closed sharply higher on Monday, led by gains in IT and banking stocks. The BSE Sensex surged 412 points to close at 82,150, while the Nifty 50 reclaimed the 24,800 mark.

Foreign institutional investors were net buyers for the third consecutive session. Analysts pointed to easing bond yields and a softer dollar as key drivers.

"The market is pricing in a more dovish stance from central banks going into 2026," said a senior market strategist.