Sensex gains over 700 points, heads towards biggest daily gain since Sept 2013

MUMBAI (Reuters) - The BSE Sensex and Nifty rose more than 3 percent on Thursday, heading towards their biggest gain since September 2013, after the Reserve Bank of India (RBI) surprised with a 25 basis point rate cut and hinted at more easing measures.

Lower borrowing costs supported by a steep fall in commodity prices, especially crude oil, are expected to stoke earnings at Indian companies.

The benchmark BSE Sensex rose as much as 3.1 percent, while the broader Nifty gained 3 percent, both heading towards their biggest intraday gains since Sept. 19, 2013.

(Reporting by Abhishek Vishnoi; Editing by Biju Dwarakanath)