New Delhi, April 1 -- Indian equities are off to a bumper start to the new fiscal year, FY27, as both key indices rallied over 1.5%, snapping a two-day sell-off and recovering from the steepest monthly drop in six years in March.

Market sentiment improved on the back of a drop in crude oil prices and rising hopes that the US-Iran war could end soon, which gave a much-needed boost to Dalal Street investors. The strong rebound in financials and auto stocks helped lift the markets, with the Nifty 50 eventually settling 1.56% higher at 22,676, while the Sensex closed at 73,134, up 1.65% from Monday's close.

The broader markets also mirrored the sharp rebound, with both the Nifty Midcap 100 and Nifty Smallcap 100 indices closing higher by 2....