In the barometer index, the S&P BSE Sensex gained 666.25 points or 0.78% to 85,836.12. The Nifty 50 index advanced 211.90 points or 0.81% to 26,216.05.

The Sensex and Nifty clocked an all-time high of 85,930.43 and 26,250.90, respectively in late trade.

In the broader market, the S&P BSE Mid-Cap index shed 0.01% and the S&P BSE Small-Cap index fell 0.39%. The market breadth was negative.

The NSE's India VIX, a gauge of the market's expectation of volatility over the near term, dropped 7.12% to 11.84.

Among the sectoral indices, the Nifty Auto index (up 2.26%), the Nifty Metal index (up 2.13%) and the Nifty PSU bank index (up 1.02%) outperformed the Nifty 50 index.

Meanwhile, the Nifty Consumer Durables Index (down 0.90%), the Nifty Midsmall Healthcare Index (down 0.33%) and the Nifty oil & gas index (up 0.29%), underperformed the Nifty 50 index.

Numbers to Track:

The yield on India's 10-year benchmark federal paper advanced 1.42% to 6.834 as compared with previous close 6.848.

In the foreign exchange market, the rupee edged lower against the dollar. The partially convertible rupee was hovering at 83.6400, compared with its close of 83.5800 during the previous trading session.

MCX Gold futures for 4 October 2024 settlement rose 0.27% to Rs 75,520.

The US Dollar index (DXY), which tracks the greenback's value against a basket of currencies, was down 0.03% to 100.88.

The United States 10-year bond yield fell 0.29% to 3.774.

In the commodities market, Brent crude for November 2024 settlement lost 49 cents or 0.65% to $74.68 a barrel.

Global Markets:

European market advanced on Thursday as the Swiss National Bank (SNB) cut interest rates by a quarter point, bringing its key interest rate down to 1.0%.

Most of the Asian stocks ended higher on Thursday, driven by continued optimism surrounding China's recent stimulus measures and a robust rally in technology stocks, particularly semiconductor manufacturers. The latter was fueled by strong earnings from U.S. chipmaker Micron.

Chinese markets have been on a roll this week following Beijing's announcement of a series of stimulus measures, including a reduction in bank reserve requirements and lower mortgage rates. These measures have sparked a wave of bargain buying, as Chinese markets had been lagging behind global peers for some time due to concerns about a slowing economy.

U.S. stocks experienced a pullback on Wednesday, with the three major indices closing mixed as investors weighed the health of the economy and the likelihood of further interest rate cuts. The Dow Jones Industrial Average declined by around 0.7%, while the S&P 500 fell 0.19% and Nasdaq Composite (+0.04%) saw more modest gains.

On the economic data front, new home sales in the United States decreased in August compared to the previous month, primarily due to high mortgage rates and elevated prices deterring potential buyers. However, mortgage applications rose to their highest level since 2022, driven by homeowners seeking to refinance their loans as interest rates decline.

This week's market focus is on Federal Reserve Chair Jerome Powell's upcoming speech and the release of the PCE price index, the Fed's preferred inflation gauge.