The BSE Sensex wiped out early losses and
added 39 points to remain at a one-month high amid overseas capital inflows ahead of the assembly poll results.
However, the gauge failed to close above the 21,000-level for the second day in a row, after touching an intra-day high of 21,049.84.
Brokers said the
markets remained in a bullish mood for the second straight day after exit polls showed leads for the Bharatiya Janata Party (BJP), the main opposition party, in the just-concluded state assembly elections, for which results would come out on Sunday.
They said further support came from a firm trend in some Asian stock indices and a higher opening in Europe ahead of a US jobs report, which may provide clues on the timing of the Federal Reserve's stimulus cuts.
The 30-share index of the Bombay Stock Exchange dropped to the day's low of 20,922.45 points in early trade. The Sensex ended at 20,996.53, a gain of 38.72 points, or 0.18 per cent, the highest close since November 3.
It had
on Thursday surged 249 points. The 50-share Nifty index on the National Stock Exchange rose 18.8 points, or 0.30 per cent, to 6,259.90, after trading in a range of 6,230.75 to 6,275.35 during the session.
Foreign institutional investors purchased a net Rs 1,151.51 crore of stocks on Thursday, according to provisional data from the stock exchanges. They have bought $17.7 billion of equities this year, with $1.1 billion in November alone.
Of the 30 Sensex shares, 22 closed higher and eight declined. The power sector index gained the most on the BSE, moving up 2.27 per cent, followed by the consumer durables index, which rose 1.24 per cent.
The major Sensex gainers were Tata Power, Coal India, NTPC, Hero MotoCorp, ONGC, Larsen & Toubro, ITC, Sesa Sterlite, Bajaj Auto and Sun Pharma.
With inputs from PTI
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