Key benchmark indices extended gains and hit fresh intraday high in afternoon trade. At 13:17 IST, the barometer index, the S&P BSE Sensex, was up 168.46 points or 0.48% at 35,128.18. The Nifty 50 index was up 56.30 points or 0.54% at 10,544.75.

Intraday volatility was high. The trading sentiment was dented in early trade after the Reserve Bank of India Governor, Urjit R. Patel, resigned from his post last evening citing personal reasons. However, the market bounced back amid the outcome of the assembly polls in five states.

Ongoing trends suggest that Congress heading for a big win in Chhattisgarh, well ahead in Rajasthan, in Madhya Pradesh it has a close fight with the BJP. The Mizo National Front (MNF) is leading in Mizoram. Telangana Rashtra Samithi (TRS) is leading in Telangana.

Among secondary barometers, the BSE Mid-Cap index was up 1.38%. The BSE Small-Cap index was up 1.03%.

The market breadth, indicating the overall health of the market, was strong. On BSE, 1464 shares rose and 759 shares fell. A total of 123 shares were unchanged.

Yes Bank (up 6.29%), Sun Pharmaceutical Industries (up 5.18%), Asian Paints (up 4.4%), Axis Bank (up 3.92%) and M&M (up 1.8%) were the major Sensex gainers.

HDFC Bank (down 1.52%), Bharti Airtel (down 1.05%) and ICICI Bank (down 1.02%) were the major Sensex losers.

State Bank of India advanced 2.05%. A meeting of the executive committee of central board of State Bank of India is scheduled to be held on 12 December 2018 to consider the status and decide on long term fund raising in single/multiple tranches upto US$ 1.25 billion (US$ One Billion Two Hundred and Fifty Million) through a public offer and/or private placement of senior unsecured notes in US Dollar or any other convertible currency during January to March, 2019. The announcement was made after market hours yesterday, 10 December 2018.

Meanwhile, the Winter Session of Parliament began today. The nearly month-long session will continue till the 8th of next month. 45 bills and one financial item will be taken up during the session. The Session will have 20 sittings. On the first day, Lok Sabha and Rajya Sabha were adjourned for the day after paying tributes to its sitting and former members who passed away after the Monsoon Session.

Overseas, Asian shares were mostly lower on the back of a volatile session on Wall Street which saw the Dow recover from a 507-point drop.

US stocks closed higher Monday as major indices bounced back from earlier losses as renewed confidence in the strength of the US economy offset lingering worries over the US-China trade dispute.

Investors are increasingly focusing on the December 18-19 Federal Reserve meeting, where the central bank is widely expected to raise interest rates. Comments from Fed Chairman Jerome Powell will be in the spotlight.

Meanwhile, British Prime Minister Theresa May confirmed a decision to postpone a vote on her plan for the UK to exit from the European Union.