Indian equities on Monday recovered the majority of the last week's losses to close above psychological marks of 17000 on Sensex and 5000 on Nifty on the back of healthy IIP data, the news of Ambani brothers' clash resolution attempt and continued buying activity witnessed across the board.

Optimistic European markets also added to the overall response of the market.

The 30-share index, BSE Sensex, which belled the day after gaining 44.66 points at 16,687.32, traded strongly all through the day and hit 17,000 level as shares of Ambani brothers firms soared up. At last, it ended on a cheerful note after hitting a high of 17,068.78.

The Sensex closed the day after registering a gain of 384.01 points at 17,026.67. During the day, Sensex hit an intraday high of 17,068.78 and an intraday low of 16,687.32. In contrast, the broad- based NSE Nifty surged 109.05 points at 5,054.25. It touched an intraday high of 5,068.05 and an intraday low of 4,945.45.

The BSE Midcap index climbed 1.22% and the BSE Smallcap index remained up by 1.05%.

In August 2009, Index for industrial production (IIP) climbed to 10.4% as compared to 6.8% in July on account of double-digit escalation in mining, manufacturing and electricity segments.

Mr. Ashok Chawla, finance secretary, said that the data pointed to signs of revival and the productivity could recover further.

Among sectoral indices, BSE Consumer Durables surged 3.72%, IT climbed 2.94%, Bankex increased 2.63%, TECk zoomed 2.45% and Oil & Gas rose 2.35%.

The major gainers in the 30-share index were SBI (5.16%), Rel Infra (5%), Rel Cap (4.70%), Wipro (3.79%), ITC (3.74%), and TCS (3.36%).

On the other hand, the major losers in the 30-share index included Hero Honda Motors (0.90%), RCom (0.62%) and BHEL (0.21%).

Markets will remain closed today on account of Maharashtra polls.