Strong liquidity in the form of FII inflows drove India's key share market index to a new high of 7,553 points Tuesday, propelled by bullish activity in the final hour of trading.

Usual heavyweights returned a mixed bag while strong buying was witnessed in the aluminium, steel, banking and auto sectors to close the day with the stock market barometer 30-share Bombay Stock Exchange sensitive index or sensex 49 points higher.

Investors were in for a roller coaster ride as the market proceeded to trade higher and made newer highs after an initial bout of volatility.

Steel stocks remained stable with SAIL being a key gainer, up five percent after the company recorded an impressive turnaround and expectations of good first quarter numbers to be announced later in the month. Other steel stocks gained by about a percent each.

Zee was also a key gainer with gains of over three percent powering it to a 52-week high. The Zee stock has appreciated almost 50 percent in the past three months after a sharp improvement in revenues.

VSNL gained two percent after announcing its intentions to acquire long-distance major Teleglobe, while Bharti Televentures too closed three percent higher after announcing its first quarter results.

The company reported another strong performance with robust growth in both the top-line (46 percent) and the bottom line (97 percent) during the quarter.

It has now crossed the 12 million-customer mark for its mobile services and has cornered a share of around 22 percent of the all-India wireless subscriber base, which includes both GSM and CDMA segments of the mobile telephony market.