The Indian equity benchmarks recovered from early losses and hit record highs on Tuesday led by gains in information technology, pharma and FMCG shares defying weak trend in other Asian markets. The Sensex rose as much as 106 points to hit record high of 55,688.50 and Nifty 50 index touched an all-time high of 16,591.40. Infosys, Tech Mahindra, Asian Paints, TCS, Hindustan Unilever, Sun Pharma and Kotak Mahindra Bank were among the top movers in the Sensex.
As of 9:38 am, the Sensex was up 44 points at 55,627 and Nifty 50 index rose 12 points to 16,575.
Asian markets were trading on a weak note as Hong Kong's Hang Seng fell 0.64 per cent, Shanghai Composite index dropped 0.5 per cent and Taiwan Weighted fell 0.3 per cent.
Overnight, investors managed to shrug off new concerns about China's economy, the coronavirus Delta variant and turmoil in Afghanistan to largely drive stocks higher while also boosting some more defensive investments.
Wall Street rebounded after early losses on Monday to see two of its three major indices close higher, with the S&P 500 posting a new record high. The tech-heavy Nasdaq was the only index to end the day lower.
Back home, eight of 15 sector gauges compiled by the National Stock Exchange were trading higher led by the Nifty Healthcare index's 1.3 per cent gain. Nifty Pharma, IT and FMCG indices also rose between 0.8-1 per cent.
On the other hand, Nifty Bank, Financial Services, PSU Bank and Private Bank indices were trading with a negative bias.
Mid- and small-cap shares were witnessing mild buying interest as Nifty Midcap 100 index rose 0.34 per cent and Nifty Smallcap 100 index advanced 0.21 per cent.
Tech Mahindra was top Nifty gainer, the stock rose 3.4 per cent to Rs 1,414. Tata Consumer Products, Asian Paints, Cipla, Sun Pharma, TCS, Hindustan Unilever, Nestle India and Power gri were also among the gainers.
On the flipside, IndusInd Bank, HDFC Bank, JSW Steel, Axis Bank, ICICI Bank, Bajaj Finserv, Maruti Suzuki, HDFC and Tata Motors were among the losers.
The overall market breadth was neutral as 1,336 shares were advancing while 1,272 were declining on the BSE.