Though Asian markets ended on a mixed note, a firm trend in European markets and data showing heavy buying by FIIs on Friday, aided sentiment and lifted stocks on the Indian bourses and drove the benchmark indices Sensex and Nifty up north on Monday.
Additionally, expectations that the government will announce some infrastructure projects, reports of some big order wins and the rupee's recovery against the U.S. dollar aided sentiment.
The Sensex ended at 19,577.39, not far from the day's high of 19,598.43, recording a gain of 181.58 points or 0.94%. The Nifty closed with a gain of 46.65 points or 0.97% at 5898.85, slighlty off the day's high of 5904.35.
Realty stocks moved up sharply, and mirroring their surge, the BSE Realty index spurted 5.26%. Capital goods, power, FMCG, metal and automobile stocks too mostly ended with strong gains. Oil, PSU, healthcare and consumer durables stocks also closed on a firm note. Several stocks from the banking space surged higher, while information technology stocks closed weak.
Maruti Suzuki moved up 4.4%. Tata Motors notched up a gain of nearly 3%, Hero Motocorp gained 2.2% and Mahindra & Mahindra ended higher by about 1.7%.
Sterlite Industries rose nearly 4%. Jindal Steel & Power gained 2.9%, Tata Steel moved up 2.5%, Hindalco ended 2% up and Coal India closed with a modest gain.
Capital goods heavyweight Larsen & Toubro moved up 3.3% on reprots the company's construction division has secured new orders worth Rs 3057 crore across various business segments in June 2013. BHEL ended with a gain of 2.6%.
GAIL India advanced by 3.3%. State Bank of India gained 3.2%. NTPC, Tata Power, Reliance Industries, Dr Reddy's Laboratories, HDFC, Cipla and Bharti Airtel gained 1.3% - 2.8%. FMCG majors ITC and Hindustan Unilever posted modest gains.
Ranbaxy Laboratories jumped 5.2%. Reliance Infrastructure closed 5.1% up. DLF, Sesa Goa, Jaiprakash Associates, Bank of Baroda, Punjab National Bank, Ultratech Cement, BPCL and Axis Bank gained 2% - 4.5%. IDFC, Asian Paints, IndusInd Bank, Cairn India and Grasim Industries also ended on a firm note.
Infosys, HCL Technologies and Tata Consultancy Services ended sharply lower. ONGC, Sun Pharmaceutical Industries, NMDC and ACC also closed on a negative note.
JP Infratech, United Breweries, United Spirits, Tata Communications, Reliance Communications and HDIL gained 11% - 17%. Unitech, Essar Oil, Oberoi Realty, Indiabulls Real Estate, Reliance Capital, Wockhardt, Canara Bank, Reliance Power, Apollo Tyres and JSW Energy gained 6% - 10%.
The market breadth was strong. Out of 2506 stocks traded on BSE, 1611 stocks moved up. 768 stocks declined and 127 stocks ended flat.