Sensex closes above 27,000

The BSE Sensex on Tuesday surged past 27,000 to a third consecutive record high as blue-chips such as HDFC Bank gained after recent data raised hopes about the economy. The milestone comes a day after the broader Nifty surpassed the 8,000 level for the first time, providing a further psychological lift that has made India the best performer this year in dollar terms in Asian equities.

Traders attributed the gains on Tuesday to data showing the balance of payments was in surplus for a third straight quarter, while the current account deficit widened but stayed within comfort.

Foreign investors bought Indian shares worth Rs 554 crore ($91.53 million) on Monday, taking their total purchase to over $13 billion so far in 2014.

The 30-share BSE Sensex rose as much as 0.8 per cent to a record high of 27,082.85 before ending 0.57 per cent higher at 27,019.39. The Nifty also hit a record high, rising as much as 0.92 per cent to 8,101.95. It ended up 0.69 per cent.

Blue-chip stocks led gains. HDFC Bank rose 2.1 per cent, while ITC gained 1.2 per cent. Reliance Industries rose one per cent, while Bharti Airtel gained 4.2 per cent.