Equity benchmark indices Sensex and Nifty rebounded sharply on Thursday after sliding for the past two sessions, propelled by bargain hunting in capital goods, banking, and IT stocks amid a sharp correction in global crude prices.

The 30-share BSE Sensex climbed 405.53 points or 0.62 per cent to settle at 65,631.57.

During the day, it rallied 527.16 points or 0.80 per cent to 65,753.20.

Nifty advanced 109.65 points or 0.56 per cent to end at 19,545.75.

Larsen & Toubro was the biggest gainer in the Sensex pack, rising 2.35 per cent, followed by Titan, Tata Consultancy Services, Maruti, Mahindra & Mahindra, Infosys, ICICI Bank and Asian Paints.

In contrast, Power Grid, Nestle, NTPC, HCL Technologies and Bajaj Finance were among the laggards.

In Asian markets, Tokyo and Hong Kong settled in the green, while Seoul ended lower. Trading was closed in Shanghai for a holiday.

Global oil benchmark Brent crude declined 0.89 per cent to $85.05 a barrel.

Foreign Institutional Investors (FIIs) offloaded equities worth Rs 4,424.02 crore on Wednesday, according to exchange data.