Snapping three days of losses, the Sensex at the Bombay Stock Exchange surged 351 points, or 1.9 percent, to close above the 19,000-mark, at 19,178 on Friday, as lower headline inflation revived hopes of a rate cut by the Reserve Bank, and as global markets gained ground.

The Nifty at the National Stock Exchange jumped 109 points, or 1.9 percent, to 5,808.

Stock markets in Japan, China, Hong Kong, South Korea and Singapore gained between 0.4 percent and 1.9 percent.

The rupee appreciated 47 paise, to close at a one-week high of 57.51 against the dollar.