The market sentiment was enlivened by peace on political front as well as the Institute of Economic Growth’s forecast that inflation would remain within the RBI’s target of 4.0 to 4.5 per cent in the medium term with a downward pressure on the interest rates in next few months. The Bombay Stock Exchange (BSE) 30-share Sensex opened with a wide upside gap of 193 points and later set a new intra-day high of 18,703.67 before ending the day at a fresh closing peak of 18,658.25, a net rise of 378.01 or 2.07 per cent from Tuesday’s close of 19,280.24.

The broader S&P CNX Nifty of the National Stock Exchange (NSE) also touched a new peak of 5,454.70 and closed at an all-time record high of 5,441.45 from last close of 5,327.25, a gain of 114.20 points or 2.14 per cent.
The market ignored weak european advices due to ever rising FII inflows. According to provisional figures, Foreign Institutional Investors (FIIs) made net purchases of Rs 1,420 crore on Tuesday, taking their total net investments since September 19 to $6.5 billion.