The Sensex opened 72 points higher at 9,740, and touched a high of 9,834 in early trades. The index is now up 127 points at 9,795.
BHEL has soared 4.6% to Rs 1,552. ITC has surged 3.8% to Rs 184.
Tata Motors and Larsen & Toubro have rallied 3.3% each to Rs 165 and Rs 644, respectively.
HDFC and ACC have also moved up over 3% each to Rs 1,647 and Rs 579, respectively.
Grasim and ONGC have gained over 2.5% each at Rs 1,593 and Rs 784, respectively.
Tata Steel, NTPC and Sun Pharma have advanced around 2% each to Rs 199, Rs 180 and Rs 1,080, respectively.
Tata Power, Reliance Infrastructure, TCS, HDFC Bank, Hindalco, Maruti and DLF are up around 1.5% each.
Ranbaxy, however, has shed 1.7% at Rs 160.