MUMBAI: Nifty erased previous session losses led by banks and ended higher on Monday.

Bank Nifty made a record high while Nifty is about 120 points short so far, says Deepak Jasani, Head of Retail Research, HDFC Securities.

Global stocks rallied as corporate earnings optimism offset concerns about higher-for-longer interest rates ahead of the US Federal Reserve policy meeting outcome set for May 1, he said.

Neeraj Sharma, AVP Technical and Derivatives Research at Asit C Mehta Investment Intermediates said the Bank Nifty ended up by 1223 points at new all-time high levels at 49,424. Technically, the Bank Nifty has closed above the resistance of 48,500 and has almost achieved the short-term targets of 49,000-49,500. Given the bullish momentum, the Bank Nifty may test the level of 50,000 in the short term.

Indian stock markets enjoyed a strong day with key indices like the Sensex and Nifty rising significantly, fueled by positive global cues, and strong buying in banking and financial service stocks. Stock market volatility is expected to rise in the near future as the volatility index India VIX surged by 12 per cent, he said.