The Sensex has pared gains and is now up 162 points at 9,584. The index had earlier touched a high of 9,699.
HDFC Bank has zoomed 7.7% to Rs 953, and ICICI Bank has soared 4.4% to Rs 362.
DLF and Mahindra & Mahindra have surged over 3.5% each to Rs 382 and Rs 612, respectively.
Bharti Airtel, BHEL and Wipro have rallied around 3% each to Rs 612, Rs 1,456 and Rs 246, respectively.
HDFC and SBI have moved up 2.5% each to Rs 1,568 and Rs 1,048, respectively.
Reliance Infrastructure has slumped 3.5% to Rs 512, and Reliance Communications has dropped 3% to Rs 163.
Jaiprakash Associates, ACC and Maruti have slipped around 1.5% each to Rs 83, Rs 549 and Rs 724, respectively.
The market breadth is marginally positive - out of 2,512 stocks traded so far, 1,270 have advanced, 1,143 have declined and the rest are unchanged.
