The 30-share Sensex after opening in the negative zone rebounded to regain the psychological 27,000-mark for the first time since September 11 to trade 398.11 points, or 1.49 per cent, higher at 27,029.40.
The gauge had gained over 138 points in yesterday's trade.
All sectoral indices led by realty, consumer durables and capital goods were trading in positive terrain with gains up to 4.26 per cent.
Brokers said sentiments bolstered on optimism that trade ties with China would attract foreign inflows and revive country's economic growth, triggering a flurry of buying by participants, helping the Sensex to regain 27,000-mark.
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