The Sensex rose as much as 178 points to a fresh 52-week high of 29,456.63, while the 50-share Nifty gained over 40 points to a record high of 8,878.20.
Sentiment remained buoyant as foreign flows continued into Indian equities. On Friday, foreign investors bought shares worth Rs 2,020 crore in cash market. In last one week, foreign investors have pumped in nearly Rs 6,550 crore.
Bank shares extended their rally for the sixth straight day on optimism of a revival in the economy. The Bank Nifty was up 0.5 per cent. Axis Bank, ICICI Bank, HDFC bank all gained between 0.5 to 2 per cent.
As of 9.39 a.m. Sensex traded 98 points higher at 29,377, while the Nifty was up 10 points at 8,845.60.