As financial companies drive gains and outweigh drag in auto names, the Nifty and Sensex close higher.

Losses in autos were overcome by strong purchases at major financial institutions like HDFC Bank, ICICI Bank, Bajaj Twins, Reliance Industries, and Larsen & Toubro.

The Nifty and Sensex have resumed their upward trajectory on March 27 after taking a break in the previous session, ending a seven-day winning streak. Losses in autos were overcome by strong purchases at major financial institutions like HDFC Bank, ICICI Bank, Bajaj Twins, Reliance Industries, and Larsen & Toubro.

After US President Donald Trump proposed a 25 percent tariff on imported cars, raising fears about trade policy, auto stocks, particularly Tata Motors, were heavily pressured to sell.

Although the auto industry was affected by these tariff concerns, investors generally shrugged off the effects, and overall market mood remained strong.

As a result, the Nifty gained 105.10 points, or 0.45 percent, to close at 23,591.95, while the Sensex increased 317.93 points, or 0.41 percent, to finish at 77,606.43. With 1,640 shares rising, 2,234 shares falling, and 80 shares staying the same, the market's breadth remained sluggish. Strong purchasing, especially in the smallcap category, accompanied the gains in the larger markets. The Nifty Smallcap 100 index beat the headline index, rising 1.2 percent, while the Nifty Midcap 100 index increased 0.4 percent.