Sensex on record breaking reaching 13000

Continuing its firm trend for the third straight session on Monday, the benchmark index rose by 86 points in early trade on the Bombay Stock exchange (BSE) driven by rally in blue-chip stocks on buying by foreign funds.
Market analysts peg the upswing to firm global markets, expectations of good second quarter results and also all-time low oil prices.
The BSE 30-share index, Sensex, had closed over 198 points higher on Friday. However, on Monday, it opened 86.32 points up at 12,822.74, another new high in the first five minutes of trading.
Heavyweights from commodity, engineering, banking, software and FMCG sectors aided the strength. But IT, telecom and FMCG led the rally, with all major indices except auto and pharma trading in the green. The top select auto and pharma stocks, however, lost ground.
Some of the major gainers on the BSE and NSE were ACC, Bajaj Auto, BHEL, Reliance Energy, Reliance Industries, Dr Reddy's, HDFC Bank, ITC Ltd, Infosys Technologies, ONGC, Tata Consultancy, Wipro, Tata Steel, Tata Motors and State Bank of India

Amongst the banking stocks, HDFC Bank was up 2 per cent, UTI Bank up 4 per cent and ICICI Bank was marginally up leading the pack of gainers. The ensuing RBI mid-term monetary policy, due later this month is, however, a cause of concern for investors in the sector.
The RBI may not take a cue from the US Federal Reserve's decision against a rate hike. This is because the inflation figure soared past the 5 per cent mark in September 5.2 per cent, after the economy expanded at a faster-than-expected rate of 8.9 per cent YoY in 1QFY07. It is therefore expected that the RBI may hike its benchmark reverse repo rate for the fourth time this year.
The US markets also closed on a buoyant note Friday evening as the benchmark indices- he Dow Jones, the S&P 500 and the NASDAQ, all three closed higher. The Asian indices were currently trading a mixed bag.

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