The BSE Sensex and Nifty rose over 0.8 per cent after opening with minor gains on Monday. The Sensex gained over 250 points to 27,507, while the Nifty surged nearly 80 points to a high of 8,279.
Global cues remained positive. US markets ended higher on Friday with both Dow and S&P 500 closing at record highs. Asian markets were mostly positive on Monday.
Sentiment also turned positive as foreign investors were net buyers of Indian equities on Friday after twelve consecutive days of selling.
Metal counters led the gains on Monday. Four out of the top five gainers in Nifty were metal stocks. Sesa Sterlite was the top gainer in Nifty, up 4 per cent. JSPL, Tata Steel, Hindalco were the other gainers in Nifty, up between 2 to 3.5 per cent. The BSE Metal index was up over 2.5 per cent.
Market sentiment also got a boost after reports suggested that the government is planning the ordinance route to make changes to the Land Acquisition Act. The report said that the government plans to exclude 13 central laws to clear several infrastructure and Public Private Partnership projects.
The high beta auto and realty stocks also witnessed buying today. The CNX Auto index gained 1.5 per cent, while the realty index was up over 2 per cent. DLF, Tata Motors, Hero MotoCorp and Maruti Suzuki were up between 1 to 2.5 per cent.