Markets closed sharply higher for a third day in a row, as frantic buying in frontline stocks saw the Sensex and Nifty surging.
Better cues from Europe and diminishing concerns over pushing FDI in retail saw the Nifty ending the day higher by 55 points, while the Sensex gained 169 points. The markets also chose to ignore the poor gdp numbers as a wave of liquidity from foreign funds pushed the markets higher.
Among the gainers in trade today were Bhel, IDFC and ONGC. However, the metal pack was amongst the best performers today with Jindal Steel, Tata Steel, Hindalco and Sesa Goa rallying sharply.
Banking stocks too saw a smart rally in trade with ICICI Bank, State Bank of India and Punjab national Bank gaining significant ground.
IT stocks, however, ended the day flat on sharp gains in the rupee. Among the non-index stocks SKS Microfinance hit a 52-week high and was locked at the upper end of the circuit filter, following reports that a FII had hiked stake in the company.
Shares of PVR surged almost 17% after reports that company plans to buy 69.27% stake in Cinemax from promoter Kanakia family.
Among the top Nifty losers were Ranbaxy Laboratories, Coal India, Hindustan Unilever and Bajaj Auto.
Meanwhile, markets in Asia closed the day higher, following renewed hopes for a solution to the fiscal crisis in the US.
Indices in Europe were trading higher with the German DAX, the French CAC and the UK's FTSE all trading in the green.