The $1-trillion bailout package for struggling euro zone nations boosted stocks, bonds and currencies across the world, with emerging market stocks rising the most in 10 months.

As of 1130 AM local time, the Dow Jones Industrial Average was trading at 10795.19 points, up 414.76 points or 4%, while Nasdaq was trading at 2365.25 levels, up 99.61 points or 4.40%. This will be the highest single-day gain for Dow this year. General Electric climbed the most among Dow stocks, rising 6.9%. In Europe, the FTSE 100 closed 264.4 points higher at 5387.42, a gain of 5.16%.

According to provisional BSE data, foreign institutional investors (FIIs) were net buyers to the tune of Rs 263 crore, while domestic institutional investors (DIIs) bought shares worth Rs 30 crore. Of the BSE 500, 11 companies hit their 52-week highs.

?The rally was a rub-off from the positive momentum seen in the global indices. The worst seems to be over for the time being,? said Alex Mathews, head of research at Geojit BNP Paribas Financial Services. ?There was a huge amount of short-covering. There was also a lot of Institutional activity.?

Back home, 28 out of 30 Sensex stocks rose, while two fell. Market breadth remained strong throughout the session on the BSE, with 76% or 2,266 stocks ending higher, compared to 615 declines.

Almost all sectoral indices of the BSE ended higher. Realty and Metal indices gained the most, adding more than six percentage points each. Last week, the same indices had lost 8.5% and 7.8% respectively. ?Metal stocks have bounced back chiefly because the dollar has weakened against the euro. There was short-selling in companies like Sterlite, Hindalco and SAIL,? said Mathews.

Going forward, the market is expected to be range-bound, said Mathews. ?It is likely that the 3G auctions will fetch the government around Rs 50,000-60,000 crore, which is more than the earlier estimates of about Rs 35,000 crore-Rs 45,000 crore. This will be a positive for the Indian economy and the market as well,? he said.

The NSE cash turnover on Monday was at Rs 14,005 crore, while it was Rs 98,947 crore for derivatives.