Sensex touches 35,000 level for first time, gains 310 points to close at all-time high of 35,081

Continuing its dream run in the new year, Sensex touched 35,000 mark today for the first time. The BSE 30-share barometer closed at 35,081.82, up by 310.77 points or 0.89%.

The wider NSE Nifty too touched a new high of 10,760 and closed at 10,788.55, up by 88.10 or 0.82%.

The Sensex had yesterday lost 72 points to settle at 34,771.05 after three straight record-setting sessions. The Nifty too had slipped from the record but managed to close above the crucial 10,700 mark at 10,700.45 points, down 41.10 points.

The surge in the market was led by shares of information technology companies. The leading IT companies like Infosys, Tata Consultancy Services (TCS), HCL Technologies and Tech Mahindra registered gains of as much as 3% on the BSE in the early morning trade.

Morgan Stanley in a research note has said that the Indian IT services stocks are set for a turnaround in 2018 as recovery in spending is "imminent".

According to the global financial services major, a turnaround in IT spending could quickly turn sentiment on these stocks.

Though the sector faces risks from automation and a slower pace of market share gains from global vendors, a cyclical rally could be in the offing, it added.