Reforms buzz keeps mkts buoyant; Sensex rises 340 pts, Nifty ends at 11,881

Index rises as much as 340 pts only to give up most gains

The benchmark Sensex on Thursday touched a new all-time high during intra-day trade, as tax cut hopes kept sentiment buoyant. However, the index gave up most of the gains as some investors turned sceptical on whether the Centre would be able to push ahead with another round of tax cuts, given the fiscal constraints. Volatility in global indices, after the US Federal Reserve lowered rates but signalled a pause, added to selling pressure amid expiry of derivative contracts.

The index gained as much as 340 points in intra-day trade to touch a new all-time high of 40,392. The previous all-time high