The Sensex on Wednesday scaled the 46000-mark and settled at a new peak, while the Nifty breached 13500, buoyed by progress on the Covid-19 vaccine and hopes of a new stimulus package in the US amid strong portfolio flows.

The 30-share Sensex began on a positive note and crossed the 46000-level for the first time. After touching a record intra-day high of 46164.10, the gauge ended 494.99 points, or 1.09 per cent, higher at 46103.50.

The broader NSE Nifty rallied 136.15 points, or 1.02 per cent, to its new high of 13529.10, thus extending its record setting run for the seventh straight day. During the session, the index touched its lifetime peak of 13548.90.

The gains tracked those in Asia where the Hong Kong, Seoul and Tokyo stock indices ended on a positive note. Stock exchanges in Europe were trading with gains in early deals.

This came on optimism over the rollout of the Covid-19 vaccine in more countries, despite the disappointing news of rising numbers of cases in the UK and some other countries that are battling the second wave of the pandemic. There are also expectations that there could be another stimulus package in the US.

Another key factor that contributed to the stock market rally has been the spike in FPI investments after October. They invested a massive Rs 60,358 crore in equities last month. So far this month, their net investments stand at Rs 26,217 crore.

So far during 2020, they have made net purchases of over Rs 1.34 trillion due to the accommodative policy followed by various central banks.

``Global cues were positive as Pfizer started to roll out its coronavirus vaccine in the UK and as investors tracked the ongoing efforts in the US on additional fiscal stimulus. European markets too hit February highs, joining the global market rally while investors kept an eye on the make-or-break Brexit talks.. Going ahead, the overall structure of the market continues to remain positive given abundant liquidity, developments on the vaccine front and signs of economic recovery. Technically too, Nifty formed a bullish candle on daily scale and continues forming higher highs’’ Siddhartha Khemka, Head - Retail Research, Motilal Oswal Financial Services said.

Asian Paints was the top gainer in the Sensex pack, spurting 3.37 per cent, followed by Kotak Bank, Axis Bank, HDFC Bank, Infosys, Reliance Industries and ITC. On the other hand, UltraTech Cement, Tata Steel, Maruti, SBI and Bajaj Auto were among the laggards, falling up to 1.29 per cent.

The rally was also broad-based with BSE small cap and mid cap indices rising upto 0.49 per cxent whereas Bankex, energy, realty, finance, IT, FMCG and teck indices jumped up to 1.47 per cent.