New Delhi, Feb 3 (IANS): Shares of automobile companies were in an upswing on Thursday, which was otherwise a weak equity trading session, due to firm outlook for the overall automobile sector including that of two-wheelers.

TVS Motor Company's shares rose five per cent intra-day to settle at Rs 653, whereas Hero Motocorp settled over two per cent and closed at Rs 2,764.

Bajaj Auto settled at Rs 3,608 per share, up over two per cent.

Besides, Maruti Suzuki India, Ashok Leyland and Tata Motors rose in a range of two-to-three per cent on Thursday.

Among the sectoral indices, only Nifty auto and consumer durables traded in the green during the session.

To sustain a high growth rate in the economy, the Centre has provided a massive budgetary outlay of Rs 7.50 lakh crore for FY23, which is over 35 per cent year-on-year.

Besides, the Centre's proposal to come out with Battery Swapping Policy with focus on green and sustainable energy bodes well for the sector.

Analysts say the battery swapping initiative could create more demand for EVs.

Tata Motors sees strong demand despite near term concerns from Omicron spread, the automaker said while releasing its earnings for Q3FY22.

Also, Tata Motors' passenger vehicles segment continued its turnaround journey and strengthened its double-digit market share with highest sales in any calendar year since inception, the automaker said.