The European Central Bank (ECB) has left its benchmark interest rate unchanged, which would increase the pressure on euro-zone leaders to tackle a government debt crisis that threatens the global economy.
In the first one hour of trading, the US stocks advanced more than one per cent.
The Dow Jones industrial average (INDU) climbed 154 points, or 1.27 per cent, to trade at 12,281.59 points. The S&P 500 (SPX) rose 16 points, or 1.24 per cent, to 1,301.68 points and the Nasdaq (COMP) added 39 points, or 1.39 per cent, to 2,816.6 0 points.
Market analysts attributed the gain in the stocks worldover to the expected positive outcome from ECB meeting.
In sync with global sentiment, India's benchmark Sensex went up by 434 points, the highest single-day gain in 2012, to close at 16,454.30 points.
Besides, the 50-share NSE Nifty shot up by 133.80 points, or 2.75 per cent, to 4,997.10, after testing the key 5,000 level.
"Rising hope of policy rate cut by RBI, expected positive outcome from upcoming ECB (European Central Bank) meet cheered domestic stocks today," said Sharmila Joshi, Head Equity, Fairwealth Securities.
In European market, the Britain's FTSE-100 rose almost two per cent and French stock market index's CAC 40 was up 1.73 per cent. Besides, Asian markets were also up in the range of 1-2 per cent.
Nikkei 225 grew 1.81 per cent to close at 8,533.53 points, Hang Seng Index climbed 1.43 per cent to settle at 18,520.53 points and and Australia's S&P/ASX 200 accelerated 0.29 per cent to close at 11,654.19 points.
Market experts said that GDP rose 1.3 per cent in Australia, about twice as fast as expected for the country, lifting the investors' sentiments.
