The benchmark Sensex on Friday soared by 380 points, logging its sixth successive session of gains, to nearly four-week highs boosted by gains in banking stocks on hopes of much-awaited sectoral reforms and encouraging manufacturing output data for December.

The 50-issue Nifty of NSE crossed the 8,400 level before ending at 8,395.45, a gain of 111.45 points or 1.35 per cent.

Shares of PSU and private sector banks saw heavy buying.

The Sensex resumed higher at 27,521.28 and surged to 27,937.47 before ending at 27,887.90, a sharp gain of 380.36 points or 1.38 per cent.

This is its strongest closing in nearly four weeks.

It has now gained over 679.29 points in six straight days.

On a weekly basis, it climbed 646 points.

Besides banking, capital goods, IT, power, teck and realty counters too attracted good buying support.

Asian stocks ended higher following the New Year’s Day holiday. Key benchmark indices in Singapore, Hong Kong and South Korea firmed up by 0.16 per cent to 1.07 per cent.

Stock markets in China, Japan and Taiwan remained closed on Friday for holiday.

However, European stocks were trading lower in their afternoon trades as key indices in France, Germany and UK eased by 0.45 per cent to 0.75 per cent.

There were indications of higher opening in the US Index futures.

Twenty five scrips out of the 30-share Sensex pack ended higher while only five declined.