With buying gathering momentum, the market, which surged higher after a slightly shaky start, has moved further up north in early afternoon trade today, even as most of the other markets in the Asian region are trading weak amid worries the US Federal Reserve will gradually reduce its monetary stimulus soon. A weak report on Chinese manufacturing activity is also contributing to the decline in most of the markets across Asia.
The Sensex, which spurted to 19,588.62, is now up 168.14 points or 0.86% at 19,563.95. The Nifty is up 48.20 points or 0.83% at 5890.40.
Meanwhile, Indian factory activity remained weak in June as output contracted for the second month running and order books shrank for the first time in over four years, a survey showed on Monday.
The HSBC Manufacturing Purchasing Managers' Index (PMI), compiled by Markit, edged up to 50.3 in June from 50.1 in May.
Capital goods and oil stocks are turning in a fine performance today. Stocks from realty, power, metal and FMCG sectors too are mostly up with strong gains. Bank, healthcare and automobile stocks are trading higher as well, while consumer durables stocks are trading mixed. Information technology stocks remain subdued.
Reliance Infrastructure, DLF, Jaiprakash Associates and Ranbaxy Laboratories are up 3.7% - 4%. BHEL, Larsen & Toubro, Reliance Industries, Sesa Goa, Ultratech Cement, Jindal Steel & Power, Punjab National Bank, IndusInd Bank, Tata Motors, Hero Motocorp and Tata Steel are trading higher by 2% - 3%.
Ambuja Cements, State Bank of India, Dr Reddy's Laboratories, NTPC, IDFC, Hindalco, Grasim Industries, Coal India, Cairn India, Kotak Bank, HDFC, Axis Bank and GAIL India are also trading notably higher.
JP Infratech has vaulted 13%. HDIL is up 12.5% and Tata Communications is trading stronger by about 11.4%. Essar Oil, Unitech, Wockhardt, United Spirits, Reliance Communications, Apollo Tyres, Oberoi Realty, Indiabulls Real Estate, United Breweries, Torrent Power and Karnataka Bank are up 5% - 8.5%.
IRB Infrastructure, Canara Bank, Reliance Capital, Reliance Power, IDBI Bank, GMR Infrastructure, Allahabad Bank, Adani Power, Hindustan Copper, Muthoot Finance, Glaxosmithkline Consumer Healthcare, JSW Energy and Nestle have also risen sharply.