The BSE Sensex
shot up to over 5-week high of 16,466.05 on Tuesday, up 277 points on strong buying by foreign funds amid indications that the economy may grow faster in the coming months and
firm markets overseas.
Buying
sentiment has been gradually improving on a string of positives such as a sharp dip in inflation, rising hopes of cut in interest rates and improvement in industrial growth.
Besides, marketmen said that comments of Planning Commission Deputy Chairman Montek Singh Ahluwalia in an interview that the Union Budget should aim at raising the GDP growth rate to 8 per cent in 2012-13, from the expected 7 per cent in the current fiscal, bolstered market mood.
All the 13 sectoral indices closed with gains of up to 3.73 per cent. Capital goods, metals, realty and refinery stocks led the gains.
Besides, 24 of 30 Sensex scrips made gains with top heavyweights RIL and Infosys gaining 3.78 per cent and 0.99 per cent respectively.
Maruti Suzuki, Hindalco, L&T, Tata Steel, NTPC and CIL were other major gainers.
The 30-stock Sensex, which had
gained 152 points in the last two sessions, moved up another 276.69 points, or 1.71 per cent to 16,466.05 - the level of December 8.
The 50-scrip NSE index Nifty breached the 4,900 mark to close at 4,967.30 - up 93.40 points, or 1.92 per cent.
FIIs continued with the recent buying spree. They had pumped in Rs 357.68 crore on Monday according to provisional data.
"US markets closed overnight, hence positive openings in Asian counterparts acted as a trigger for the market. Good results from the IT major - HCL Tech improved the sentiments today on the bourses," said Shanu Goel, Research Analyst at Bonanza Portfolio.
- With PTI inputs
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