The BSE benchmark Sensex gained 41 points on Tuesday to settle at a fresh one-month high of 20,852.47 on buying in IT, capital goods and FMCG stocks, extending the winning streak to the third day.

IT major Wipro was the biggest Sensex gainer at 2.95%, followed by Bajaj Auto at 2.14%. IT stocks were in demand with Infosys trading near its all-time high level of Rs 3,782 apiece, traders said.

Markets may remain volatile in the coming few days ahead of Futures and Options expiry on Thursday, they said.

After resuming higher, the Sensex touched day's high of 20,912.54, but settled at 20,852.47, a rise of 41.03 points from its last close. It has gained 315.83 points, or 1.54%, in the last three trading days.