Tata Motors, Yes Bank, Vedanta, Infosys and Mahindra & Mahindra settled as the top gainers in the Sensex, but Maruti, Bharti Airtel, HCL Technologies and TCS ended as the top losers.
The Samvat 2076 began on a positive note for the Indian market as equity barometer Sensex and Nifty logged healthy gains on Muhurat trading on October 27.
The Sensex closed 192 points, or 0.49 percent higher at 39,250.20 with 19 stocks in the green, while the Nifty closed 43 points, or 0.37 percent, up at 11,627.
Secondary indices BSE Midcap and Smallcap outperformed the benchmark, closing with gains of 0.69 percent and 1.20 percent, respectively.
Among the sectoral barometers, barring BSE Telecom (down 0.78 percent) and Consumer Durables (down 0.14 percent) all logged gains, with Industrials (up 1.60 percent) and Auto (up 1.46) surging significantly.
"The market continued the recent positive trend in Muhurat trade. There is a visible turnaround in sentiments and one hopes that we may witness a broader upmove in the markets soon," said Dhiraj Relli, MD & CEO, HDFC Securities.
Muhurat trading is a tradition which is practised every year for an hour on Diwali. Both the BSE and the NSE are open for a one-hour session when traders and brokers mostly make token buys.
Shares of Tata Motors jumped 17 percent at Rs 147.95 on the BSE after the company reported a 79 percent year-on-year (YoY) fall in its net loss at Rs 216.6 crore for the September quarter of FY2020.
“I am optimistic about the medium to long-term perspective. I see tremendous interest amongst foreign investors. Brand India is at its all-time high. The government is also proactively addressing many basic issues. After the big bang corporate tax cut, I am hopeful that there will be individual income tax rate cut and see many more reforms on the way," said Motilal Oswal, Managing Director & CEO, Motilal Oswal Financial Services.
In the commodity market, December futures of Gold closed with a milder gain of Rs 24 at Rs 38,293 on MCX.
The market is putting a good fight amid bad news both global, as well as, domestic front but most of it is in the prices, feels Atul Suri, Founder & CEO, Marathon Trends in an exclusive interview with CNBC-Tv18.
In the next three years, there could be 12-15 percent compounded gains in the market, said market veteran Madhu Kela in a chat with CNBC TV18.The Indian stock market will be shut on October 28 for Diwali Balipratipada.Get access to India's fastest growing financial subscriptions service Moneycontrol Pro for as little as Rs 599 for first year. Use the code "GETPRO". Moneycontrol Pro offers you all the information you need for wealth creation including actionable investment ideas, independent research and insights & analysis For more information, check out the Moneycontrol website or mobile app.