Paring the previous day's losses, key Indian equity indices closed on a higher note on Thursday buoyed by positive global cues and intense buying activity during the last hour of trade.
Index heavyweights like Reliance Industries (RIL), Tata Consultancy Services (TCS), Sun Pharma, Axis Bank and Hindustan Unilever, among others, aided in the upward trajectory of the indices, according to market observers.
The 30-scrip Sensitive Index (Sensex) of the BSE closed above the psychologically important 32,000-mark, which was breached for the first time on July 13.
The Sensex closed at 32,182.22 points -- up 348.23 points, or 1.09 per cent -- after touching a high of 32,209.03 points and a low of 31,813.67 during intra-day trade.
The wider Nifty50 of the National Stock Exchange (NSE) surged by 111.60 points, or 1.12 per cent, to close at 10,096.40 points.
"After showing decline in the last session, Nifty shifted into a sharp upmove and closed the day higher by around 112 points, closing near the day's high," Deepak Jasani, Head - Retail Research, HDFC Securities, told IANS.
"Technically, the Nifty by rising sharply today has nullified the negative pattern created in the last session. This is a positive indication, and one may expect further upmove in the next session," Jasani asserted.
In terms of the broader markets, the S&P BSE mid-cap index rose by 0.98 per cent, while the small-cap index gained 1.15 per cent.
Vinod Nair, Head of Research, Geojit Financial Services, said: "Market regained from yesterday's loss and stayed close to 10,100-mark ahead of economic data, inflation and IIP (Index of Industrial Production) later during the day."
"Good demand on consumer stocks on arrival of festival season and ecstasy on pharma stocks amid some positive regulatory approvals fuelled the market. Investor's expectation on some tail winds in IT stocks ahead of results kept the counter busy," Nair added.
On the currency front, the rupee strengthened by six paise to close at 65.08-09 against the US dollar from its previous close at 65.14-15.
In terms of investments, provisional data with the exchanges showed that foreign institutional investors (FIIs) sold scrips worth Rs 668.13 crore while domestic institutional investors (DIIs) purchased stocks worth Rs 872.54 crore.
According to sources, RIL, the most valued company on BSE in terms of market capitalisation, touched its new high of Rs 876.20 per share on an intra-day basis.
On a closing basis, the market capitalisation of the company stood at Rs 5,52,515.10 crore, as shown on the BSE side.
"Shares of Reliance Industries rallied over four per cent to hit its record high of Rs 875 ahead of its September quarter earnings due tomorrow (Friday)," said Dhruv Desai, Director and Chief Operating Officer of Tradebulls.
"Top gainers on the NSE were Hindalco, Infratel and Reliance Industries, while on the decline were Bharti Airtel, Ultratech Cement and Indian Oil Corporation," Desai told IANS.
All the 19 sub-indices of the BSE ended in the green.
Sector-wise, the S&P BSE metal index surged by 266.16 points, followed by banking index by 257.27 points and automobile index by 245.75 points.
Major Sensex gainers on Thursday were: RIL, up 3.82 per cent at Rs 872.50; Sun Pharma, up 2.59 per cent at Rs 539.40; TCS, up 1.92 per cent at Rs 2,548.55; Axis Bank, up 1.77 per cent at Rs 524.65; and Hindustan Unilever, up 1.71 per cent at Rs 1,238.20.
Major Sensex losers were: Bharti Airtel, down 0.83 per cent at Rs 400.05; Coal India, down 0.46 per cent at Rs 282.40; Infosys, down 0.37 per cent at Rs 927.15; Asian Paints, down 0.03 per cent at Rs 1,160.10; and Power Grid, down 0.02 per cent at Rs 202.70.