Benchmark indices opened the day strong as Wall Street and European markets saw a spectacular recovery in the last two days.
Larsen and Toubro was among the early gainers after reports that its subsidiary L&T Infotech would go public shortly.
The Sensex was trading with gains of 211 points, while the Nifty rallied 53 points in trade. In fact, the Sensex was very near to re-conquering the 27,000 points mark.
Sugar stockss were in the limelight after raw sugar futures shot up to the highest level in 4 years. Shree Renuka, Dhamur Sugars and Bannari Aman were all trading higher in early trade.
Shares in public sector banks continued their rally wiith Andhra bank, Bank of India , State Bank of India and Punjab National Bank among the early gainers in trade.
Among the non index stocks Sagar Cements saw god buying support after reports that company would acquire a grinding unit of 1.81 lakh tonnes by Toshali Cements.
Future Enterprises also gained 3 per cent after reports that the company has sold 14 percent in unit Future Supply Chain Solutions to Griffin Partners.
Meanwhile, the rupee was trading at 67.55 to the US dollar. Check and convert currency rates here.