Indian shares rallied on Thursday as weaker-than-expected U.S. private sector employment and service sector activity data contributed to optimism about the outlook for interest rates.
Traders now expect a third consecutive interest-rate cut at the U.S. central banks Dec. 17-18 meeting.
Investor sentiment was also supported by foreign institutional investors (FIIs) turning net buyers in Indian equities in recent sessions and expectations of a dovish monetary policy by RBI.
The benchmark S&P BSE Sensex jumped 809.53 points, or 1.00 percent, to 81,765.86, extending gains for a fifth day running.
The broader NSE Nifty index closed at 24,708.50, up 240.05 points, or 0.98 percent, from its previous close.
IT stocks topped the gainers list, with TCS and Infosys rising over 2 percent each.
Dr Reddys Laboratories, Titan Company and Trent climbed 2-3 percent while NTPC, Bajaj Auto, HDFC Life and SBI Life all fell around 1 percent.