The 50-share National Stock Exchange - Nifty 50 index - surged to record high as investor sentiment was lifted after some states eased lockdowns and daily COVID-19 cases in the country hit a two-month low. The Nifty 50 index rose as much as 102 points to hit an all-time high of 15,773.45 and Sensex climbed as much as 279 points. Reliance Industries, Tata Consultancy Services, ICICI Bank and Power Grid were top movers in the Sensex.
The Nifty advanced 81 points or 0.52 per cent to close at record high of 15,751.65 and Sensex climbed 228 points to settle at an all-time high of 52,328.51.
Daily COVID-19 cases in India have seen a downward trend since early-May, with data over the weekend showing that fresh infections stayed below the 200,000-mark for over a week. On Monday, it reported 100,636 new cases, the lowest in two months.
Seven of 11 sector gauges compiled by the National Stock Exchange ended higher led by the Nifty IT index's over 1 per cent gain. Nifty Media, Auto and private Bank indices also rose between 0.5-1 per cent.
On the other hand, metal, pharma and financial services shares witnessed selling pressure.
Mid- and small-cap shares outperformed their larger peers as Nifty Midcap 100 index advanced 1.6 per cent and Nifty Smallcap 100 index 1.2 per cent.
Adani Ports was top Nifty gainer, the stock rose over 5 per cent to close at Rs 878. Power Grid, NTPC, Tata Motors, UltraTech Cement, Shree Cements, Coal India, Tata Consumer Products, Tech Mahindra, Reliance Industries and HCL Technologies were also among the gainers.
On the flipside, Bajaj Finance and Bajaj Finserv were top Nifty losers after Bajaj Finance said that second wave of Covid-19 affected its business.
HDFC, Divi's Labs, JSW Steel, Cipla, Dr Reddy's Labs, State Bank of India, Grasim Industries and Bajaj Auto were also among the losers.
The overall market breadth was extremely positive as 2,325 shares ended higher while 990 closed lower on the BSE.