The Sensex opened 34 points higher at 8,971, touched a high of 9,153, and has now pared gains and is up 130 points at 9,067.
HDFC, Grasim and Reliance have surged 4% each to Rs 1,477, Rs 1,015 and Rs 1,186, respectively.
Mahindra & Mahindra has rallied 3.8% to Rs 312. Sterlite and ITC have gained 3.5% each at Rs 226 and Rs 166, respectively.
ACC and Ranbaxy have moved up nearly 3% each to Rs 417 and Rs 218, respectively.
Tata Steel, BHEL, ONGC and Jaiprakash Associates have advanced around 2% each to Rs 168, Rs 1,292, Rs 681 and Rs 69, respectively.
Satyam has plunged 3.5% to Rs 234. Infosys has shed 3% at Rs 1,146. Wipro has slipped 2.5% to Rs 224, and TCS has declined 1.8% to Rs 474.