The Sensex has rallied to the day's high on the back of fresh buying mainly in banking and capital goods stocks. The index is now up 192 points at 14,691.
ONGC has surged 4.5% to Rs 1,077.
Jaiprakash Associates, SBI and ICICI Bank have rallied over 3% each to Rs 168, Rs 1,461 and Rs 685, respectively.
Reliance Infrastructure and Larsen & Toubro have gained around 2.5% each at Rs 1,009 and Rs 2,623, respectively.
Tata Power, ACC and Hindustan Unilever have advanced around 2% each to Rs 1,061, Rs 575 and Rs 246, respectively.
Wipro, TCS and Reliance Communications are up around 1.5% each at Rs 441, Rs 827 and Rs 395, respectively.
Ranbaxy has tumbled nearly 7% to Rs 465. Tata Motors has shed 1.5% at Rs 431.