The benchmark Sensex climbed about 89 points to nearly 1-month closing high of 20,722.97 today, driven by smart gains in bluechip pharma and IT stocks.
After rising 441 points in the past three sessions, the Sensex rose further by 88.76 points, or 0.43 per cent, to end at 20,722.97 -- the highest since it closed at 21,133.56 on January 24, 2014. In 30-scrip Sensex, 16 stocks rose and 13 ended lower, while Tata Motors ended unchanged.
Brokers said today's rise market was backed by drugmaker stocks like Sun Pharma and Dr Reddy's. Ranbaxy jumped over 3 per cent on reports the Indian drug maker and Teva settled claims in US over collusion. IT shares, including Infosys and TCS, rose on hopes that an improvement in global economy will boost demand for outsourcing, they added.
"The announcements made in the Interim budget, along with easing inflation, has boosted market sentiment. Also, value buying is seen from lower levels," said Nidhi Saraswat, Senior Research Analyst, Bonanza Portfolio.
The 50-share National Stock Exchange index Nifty rose 25.65 points, or 0.42 per cent to end at 6,152.75. Sugar stocks, including Bajaj Hindusthan and Balrampur Chini, saw good demand on buzz that prices have risen.
Sectorally, the BSE IT sector index was star performer as it rose 1.48 per cent. The Healthcare index shot up 1.17 per cent. Overall, 8 of the 12 sectoral indices rose. Those tracking metal, power, auto and FMCG dropped. Forex and money markets were closed today on account of "Chhatrapati Shivaji Maharaj Jayanti".