Global cues push Sensex 271 pts higher; ITC, HDFC Bank lead

Indian equity benchmarks showed good performance despite lower-than-expected gross domestic product (GDP) data, tracking smart rally across the globe. Indices closed at almost three-week high.

The 30-share BSE Sensex shot up 271 points, to end at 18,503 and the 50-share NSE Nifty settled at 5,560, with gains of 87 points.

Devangshu Datta, consulting editor at Outlook feels that 5600 is a significant resistance in the very short term. "But 5650-5700 is a strong resistance in general."

Meanwhile, Nandan Chakraborty of Enam said, "We are approaching the peak of the domestic interest rate cycle within the next few months. Significantly higher EM growth & depreciation in dollar post QE2 would be strong positives for investments into India."

Global cues played a key role today. European markets like Britain's FTSE, Germany's DAX and France's CAC were trading 1-2% higher, at the time of closing of Indian equities. US futures like Dow Jones and NASDAQ too gained 1% each.

Asian markets rallied in late trade as well. Nikkei, Kospi, Taiwan and Hang Seng went up 2% each. Shanghai, which was in the red, rose 1.4% and Straits Times moved up 0.6%.