Benchmark indices, the Nifty and the Sensex, ended the day in the green. The Nifty closed at 5,703, up 54 points while the Sensex closed at 18,762, up 183 points.
“World stocks rallied on reports of the awaited Spain’s economic reform plan wherein it has planned to control excess expenses and cut the deficit by at least €18 billion next year, which has eased the worries about Euro Zone’s finances for the time-being. This also boosted the overall sentiment,” said Rakesh Goyal, Senior Vice President, Bonanza Portfolio.
Auto index was up 1.89 per cent, followed by the Consumer Durables and the FMCG indices.
Media stocks also gained after the cable TV digitisation was made mandatory in Delhi, Mumbai, Kolkata and Chennai (with the deadline fixed till October 31).
Hindalco Industries, Tata Motors and Cipla were the top three gainers, while Infosys, BHEL and SBI were the top three losers.
Asian and European stocks rose on optimism Spanish and French measures to reduce budget deficits will help resolve the region’s debt crisis
A stress test of Spain's banking sector which will be released today, will reveal how much more money is needed to recapitalise its banks.