The stock market benchmark Sensex today gained 184 points to close above the 17,000-points level as investors, foreign funds in particular, bet their money on Indian stocks amid a smart rally in other markets.
The Bombay Stock Exchange 30-share barometer settled the day at more than a three-week high of 17,032.51, netting a rise of 183.68 points or 1.09 per cent over its last close.
Asian and European markets rallied smartly as dollar weakened against a basket of currencies.
Shanghai Composite gained 2.74 per cent, Strait Times 2.08 per cent, Hang Seng 1.73 per cent, Taiwan weighted 1.66 per cent and Kospi 1.30 per cent. European markets were trading firm in their early trade this afternoon.
The market sentiment was also boosted by sustained capital inflow into equity. Foreign Institutional Investors bought shares worth USD 774.2 million so far in November, taking the total purchases to USD 14.8 billion in the current calendar year.
The market, however, came under pressure at the day’s higher levels on concerns about rising inflation which stood at 1.34 per cent for October.
Auto stocks attracted continued demand from investors as the sector registered robust sales growth in October.
