The S&P BSE benchmark sensex extended gains for the second straight day, surging by another 279 pts in view of persistent buying mainly in Healthcare, Metal and Banking sectors from operators at the current levels amidst mixed Asian advices.
Shares of Telecom, Finance, Auto, Industrials and Consumer Durable sectors also moved on good buying enquiries.
The sensex opened higher at 24,360.36 and shot up further to 24,672.90 before ending at 24,616.97, showing a gain of 278.54 points or 1.14 per cent.
The sensex has gained by 393.65 points or 1.63 per cent in two days.
The NSE 50-share Nifty rose by 85.10 points or 1.15 per cent to 7,489.10 after moving in a range of 7,503.15 and 7406.65.
In overseas stock markets, Asian and European stocks showed a mixed trend amid reduced expectations for further interest rate increases from the US Federal Reserve in this calendar year.
Japanese stocks fell by 1.32 per cent as the Japanese yen strengthened against the dollar. Other indices like, China and Taiwan moved down by 0.63 pct to 0.84 pct while Hong Kong, Singapore and South Korea firmed up by 0.08 pct to 2.53 pct.
Key Euroepan indices, like France and UK firmed up by 0.55 pct to 0.68 pct Germany's DAX was quoted lower by 0.04 pct.
US stocks registered modest gains yesterday, led by advances in the materials and industrials sectors.
Meanwhile, Foreign portfolio investors (FPIs) sold shares worth Rs 195.92 crs yesterday, as per provisional data released.
Mr. Pramit Brahmbhatt of Veracity Financial Services said," Our benchmark index NIFTY opened on a positive note due to higher global advdices with a nominal gain of 14 points at 7418 levels and registered a day low i.e. 7407 levels during the opening trades and ended higher at 7,489.10 following gains in PSU, Banking, Pharma and Metal stocks.
Turing to the local market, 22 scrips out of the 30- share sensex pack ended higher while remanining 8 finished lower.
Major gainers were Lupin (9.04 pct), Axis Bank (4.40 pct), Cipla (3.58 pct), Tata Steel (3.47 pct), Tata Motors (3.47 pct), Dr Reddy's Lab (3.38 pct), SBI (3.16 pct), Sun Pharma (2.91 pct) Hero Motocorp (2.69 pct), Icici Bank (2.52 pct), BHEL (2.51 pct), Bajaj Auto (2.05 pct), M&M (1.73 pct), HUL (1.49 pct), Coal India (1.48 pct) and HDFC (1.47 pct).
However, Gail India dropped by 3.62 pct, Maruti 1.86 pct, Adaniports 1.58 pct and NTPC 1.03 pct.
Among the S&P BSE sectorial and industrials indices, Metal rose by 3.37 pct, Healthcare (3.37 pct), Bankex (2.11 pct), Finance (1.87 pct), Telecom (1.60 pct), Consumer Durable (1.14 pct) and Industrial 1.22 pct.
In broader markets, mid-cap and small-cap indices ended 1.90 per cent and 1.21 per cent higher, respectively outperformed the Sensex.
The market breadth turned positive as 1,620 shares ended higher, 1,016 closed lower while 135 ruled steady. The total turnover rose to Rs 2,853.97 crs from Rs 2,742.06 crs yesterday.