Moreover, continuous buying by domestic financial institutions also supported trading sentiment. The NSE Nifty closed at 10,184.85, showing a gain of 38.30 points, or 0.38 per cent.
The 30-share Sensex closed 100.62 points, or 0.31 per cent, up at 32,607.34, while the 50-share Nifty index closed 22.85 points, or 0.22 per cent, up at 10,207.70.
The S&P BSE Mid-Cap index rose 0.27 per cent, under-performing the Sensex and the S&P BSE Small-Cap index advanced 0.79 per cent, outperforming the Sensex.
Major gainers were Bharti Airtel (2.76 per cent), HeroMotco (1.55 per cent), ICICI Bank (1.49 per cent), Reliance (1.44 per cent), Adaniport (1.39 per cent), Coal India (1.33 per cent) and Sunpharma (1.28 per cent). The company on Tuesday said consolidated net profit after non-controlling interest rose 8 per cent year-on-year (YoY) to Rs 508.42 crore for the September quarter.
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On the other hand, Tata Motors (1.54%), Infosys (1.37%), Sun Pharmaceutical Industries (1.07%), Mahindra & Mahindra (0.81%), Hero Motocorp (0.59%), and Reliance Industries (0.36%) were the biggest losers in the Sensex. Among the S&P BSE sectoral indices, power rose by 1.28 per cent followed by utilities 1.26 per cent, telecom 0.82 per cent, oil&gas 0.63 per cent, bankex 0.62 per cent and metal 0.55 per cent.
The total turnover on BSE amounted to Rs 3,995.29 crore, higher than turnover of Rs 3,904.87 crore registered during the previous trading session.
Most of Asian stocks gained as the dollar spiked to more than three-month highs against the yen following a snap election in Japan on Sunday.
China's Shanghai Composite Index too gained 0.22 per cent while Hong Kong's Hang seng fell 0.53 per cent. It edged higher by 47 points or 0.46 per cent to close at 10,193.55 points.