PTI

Mumbai, Dec 8: Stock markets gained with the benchmark Sensex rising by nearly 200 points on brisk buying sparked by triple bonanza for the industry in the form of duty cuts by the government, RBI's clear hints towards soft lending rates and slashing of fuel prices.

The domestic currency's sharp rise of 0.8 per cent to 49.185 against the greenback and positive trends in the overseas markets also bolstered the market sentiment.

The BSE barometer ended with a gain of 197.42 points at 9,162.62 after a rousing start in the opening.

The index had surged to indra-day high of 9,432.11 points but selling at the fag end of the session pulled down the bellwether index.

With government stimulus package, announced the Planning Commission Deputy Chairman Montek Singh Ahluwalia yesterday, extending attractive sops to the housing sector, the realty stocks, led by sectoral major DLF Ltd, jumped, lending a big support to the Sensex.

National Stock Exchange index Nifty rose by 69.60 points at 2784.00, after touching the day's high of 2861.55 points.

Brokers said buying activity picked up after RBI cut key policy rates--short term lending and short-term borrowing rates cut slashed by 100 basis points-- for the third time in less than two months on Saturday.

The government on its part unveiled a multi-crore to package, including duty cuts, to rejuvenate the industry facing uncertainty at this time of global economic downturn.

Besides, the fuel prices were also reduced on Friday, lifting the sentiment.

The biggest support to the market came in from realty, metal, consumer durable, power, teck and capital goods segment stocks by recording handsome gains.