Benchmark indices surged in trade, following strong global cues with the Sensex rallying almost 400 points in trade, but, selling pressure at higher levels saw it give-up some gains.
The Nifty was up 91 points in trade at 12,084 points. While the Sensex breached the 41,000 points mark, the Nifty crossed the 12,000 points mark.
Bharti Infratel was leading the set of gainers with a more than 6 per cent jump. Coal India was having a very good session for the second day in a row and was up almost 2 per cent. Analysts have a "buy" rating on the stock with a significant upside from these levels on account of its strong dividend yields.
Shares in Yes Bank continued to lose ground for the third straight day. The shares lost ground for a second day in a row. Other shares that fell were HeroMoto Corp and Britannia Industries.
Reliance Industries halted a 2-day losing streak and was trading higher on reports of an acceleration of stake sale in the company to Saudi Aramco.
Meanwhile, global markets were relatively strong with the Japanese Nikkei leading gainers in trade. The US Dow Futures were also pointing to higher openings for the US markets. India indices are expected to have a truncated week, with a holiday on Friday.