Sensex trims initial gains; up 149 pts

There was selling, however, in IT, FMCG, Teck and Healthcare sectors.

Persistent capital inflows from foreign funds boosted the market sentiment, marketmen said.

RBI is scheduled to announce its mid-quarter review of monetary policy later today amid industry demands for the lowering of interest rates to spur growth.

Shares of organised retailers surged after the government announced that the Cabinet has approved the proposal of the Department of Industrial Policy & Promotion for permitting foreign direct investment (FDI) of up to 51 per cent in multi- brand retail trading (MBRT).

The BSE 30-stock index, Sensex, resumed higher at 18,619.90 and shot up further to 18,715.03. However, it declined to a low of 18,569.24, before quoting at 18,612.88 at 1025 hrs - up 148.61 points of 0.80 per cent from its last weekend's closing level.

The NSE 50-share Nifty also moved up further by 41.25 points or 0.74 per cent to 5,618.90 at 1025 hrs.

Major gainers were ICICI Bank (4.14 pc), Maruti Suzuki (3.92 pc), Jindal Steel (3.79 pc), SBI (3.76 pc), Tata Motors (3.74 pc), L&T (3.61 pc), RIL (3.34 pc), Sterlite (3.14 pc), BHEL (2.83 pc), Tata Power (1.99 pc) and Tata Steel (1.92 pc).