The Bombay Stock Exchange benchmark index Sensex today surged by over 127 points to touch a 23-month high on sustained buying by funds in heavyweight stocks led by metals, mostly copper and aluminium stocks.
The Sensex had a gap-up opening of over 171 points today and closed the day with a gain of 127.51 points to close at 17,686.24, a level seen in February 2008.
The key index touched the day's high of 17,729.78. This is the second consecutive rally of the market after the first trading session of the year yesterday when the index gained94.
The broader NSE's Nifty also rose by 45.70 points to 5,277.90, after touching a high of 5,288.35.
The rally was mostly attributed to rising interest in metal stocks followed by realty and technology sector stock. However, a further fall in the Reliance Industries, which is the heaviest counter among the Sensex scrips, by Rs 5.80 to Rs 1,069.55, checked the upsurge as it did yesterday.
Among the 30-share Sensex counters, 23 closed with gains while the rest ended lower.
The metals index rose a hefty 3.82 per cent today. Sterlite, the largest copper producer, gained 4.57 per cent to Rs 914.90 after prices of the metals in London, New York and Shanghai reached 16-month highs. The leading aluminium maker Hindalco rose 7.39 per cent to Rs 175.20.
The realty sector was the second best performer by gaining 1.14 per cent to 3,914.81 followed by the tech index by 0.94 per cent to 3,321.99. Godrej Properties on its debut day rose to Rs 586.70 and ended at Rs 534.55. The offer price of the share was Rs 490.