The Sensex has extended gains and is now up 188 points at 9,654.
Mahindra & Mahindra (M&M) has soared 5.5% to Rs 316, and Tata Steel has surged 5% to Rs 195.
BHEL and Reliance Infrastructure have rallied 4% each to Rs 1,470 and Rs 572, respectively.
Jaiprakash Associates has gained 3.5% at Rs 76. ACC, Reliance Communications, Larsen & Toubro, Reliance and SBI have moved up nearly 3% each to Rs 565, Rs 177, Rs 702, Rs 1,390 and Rs 1,192, respectively.
Maruti and ICICI Bank have advanced 2.5% each to Rs 629 and Rs 432, respectively.
DLF, Hindalco and HDFC Bank are up 2% each at Rs 159, Rs 46 and Rs 950, respectively.
Sun Pharma, however, has slipped 1% to Rs 1,094.
The market breadth is significantly positive - out of 2,355 stocks traded so far, 1,463 have advanced, 796 have declined and 96 are unchanged.