Mumbai: Markets raced past milestones on a record-setting spree on Wednesday, with the benchmark Sensex closing above the 30,000-mark for the first time, while the broader Nifty hit a new peak, buoyed by unabated funds inflows and a global rally.
Stocks saw frenzied buying, in line with global shares, which have been on a high after the first round victory of centrist Emmanuel Macron in French presidential elections. Investors are also keeping an eye on US president Donald Trump's much-awaited tax reforms.
Traders said the impressive show by the ruling BJP in Delhi civic polls added to the positivity.
The BSE 30-share Sensex opened on a strong footing and surged to a lifetime high of 30,167.09 points in intra-day trade, before settling at 30,133.35, up 190.11 points, or 0.63 percent.
This surpassed its previous record close of 29,974.24, reached on April 5. The gauge had hit its previous intra-day high of 30,024.74 on March 4, 2015.
The Sensex has gained 768.05 points or 2.62 percent in three days.
Similarly, the broader 50-issue NSE Nifty scaled a new high of 9,367 before finally settling 45.25 points, or 0.49 percent higher at 9,351.85, a new record closing.
Its previous closing high of 9,306.60 was hit in day's trade. It also broke the previous intra-day record of 9,309.20.
"Market has made a higher high on account of rising global optimism due to ease in political risk in Eurozone and expectation of tax reform in the US.
"Volatility emerged during the late hours due to profit booking but short covering ahead the expiry navigated the direction back to north. Optimism on earnings and continued buying by local investors is directing the recent rally in the market," said Vinod Nair, head of research, Geojit Financial Services.
The rupee strengthened past the 64-mark to a near 21- month high of 63.93 (intra-day) against the dollar, which added to the momentum.
Meanwhile, foreign portfolio investors (FPIs) and domestic institutional investors bought shares worth a net Rs 178.82 crore and Rs 998.26 crore respectively on Wednesday, as per provisional data from the stock exchanges.
Overseas, Asian indices ended higher following overnight rally in US stocks on strong earnings announcements and expectations surrounding US president Donald Trump's impending tax reforms.
Tokyo's Nikkei ended up 1.1 percent, while Hong Kong's Hang Seng rose 0.5 percent, its fifth straight day of gains. Shanghai Composite Index edged up 0.2 percent.
Key indices in Europe, however, were mixed in their morning deals, with Paris CAC 40 rising 0.1 percent, London's FTSE slipping 0.06 percent and and Frankfurt's DAX 30 declining 0.03 percent.
Back home, of the 30-share Sensex pack, 18 scrips ended higher while 12 closed lower.
Major gainers were ITC 3.36 percent, M&M 3.29 percent, HDFC 2.36 percent, HUL 1.78 percent, ICICI Bank 1.61 percent, Tata Motors 1.17 percent, Bharti Airtel 1.14 percent, Maruti 0.88 percent, HDFC Bank 0.73 percent and Asian Paints 0.73 percent.
However, Adani Ports fell 2.31 percent, Infosys 1.61 percent, Dr Reddy's 1.31 percent, Power Grid 1.30 percent, Reliance 1.13 percent, Wipro 0.80 percent and ONGC 0.66 percent.
Among BSE sectoral and industry indices, FMCG rose 2.04 percent, auto 1.01 percent, bankex 0.82 percent, finance 0.74 percent and metal 0.47 percent.
However, realty fell 2.95 percent, energy 1.13 percent, IT 1.08 percent, oil & gas 1.02 percent, tech 0.89 percent, power 0.77 percent, utilities 0.76 percent, consumer durables 0.61 percent and healthcare 0.58 percent.
The market breadth turned negative as 1,954 stocks ended lower, 952 closed higher while 139 ruled steady.
The total turnover on BSE amounted to Rs 5,021.73 crore, higher than Rs 4,006.89 crore registered during the previous trading session.