Helped by strong global markets, Indian indices are continuing the rally and moving closer to their lifetime highs achieved in May this year. Markets across Asia are trading with very strong gains even as the US indices rallied yesterday as well.

Sensex opened at 12359 and moved to a high of 12443. The index is trading higher by 94 points at 12415 at 11.10 AM.

Nifty opened at 3572 and touched a high of 3604. The index is now trading higher by 21 points at 3593.

Banks and financial sector stocks are leading the rally from the front once again. Most of the frontline stocks in this sector are trading at, or very close, to their lifetime highs. Hopes of declining interest rates and an extension of the deadline for Basel II implementation are helping these stocks.

HDFC is the best performer among index stocks, with gains of more than 2 per cent. ICICI Bank has added nearly 2 per cent and HDFC Bank is trading nearly 1.5 per cent higher.

OBC has gained over a per cent while SBI and PNB has added more than 0.5 per cent each.

Capital goods stocks are firm in early trades, led by Siemens which has added nearly 2 per cent. Suzlon has gained over 1.5 per cent.

ITC has recovered from yesterday's correction and has added more than 1.5 per cent.

Tata Power has gained over 1.5 per cent on plans to set up a 1,000 MW plant in Orissa.

Among pharma stocks, Sun Pharma has added more than 1.5 per cent while Ranbaxy has gained close to 1.5 per cent.

HCL Tech is the best performer among tech stocks, with gains of around 1.5 per cent. TCS has gained more than 0.5 per cent.

Index heavies, Reliance Industries and ONGC are trading with gains of around 0.5 per cent each.

There are only two losers among Nifty stocks in early trades. Nalco has shed over 0.5 per cent while HPCL is trading with marginal losses.

Mid-caps and small caps have also rallied in line with the overall market movement. Most of the prominent mid-caps have moved up further and the up trend in very broad based.

The NSE mid-cap index is now trading with gains of over a per cent. BSE mid-cap index has added 0.9 per cent and the small-cap index has gained nearly a per cent. Market breadth on the NSE is very positive in early trades with more than 3 stocks advancing for every declining stock.

HOV Services has had a poor listing on the exchanges today. Issued at Rs200 per share, the stock opened at Rs204 per share and touched a high of Rs234 on the NSE. The stock has declined and is now trading with losses of 5 per cent at Rs191.

Rama Newsprint and Bindal Agro are locked in the 20 per cent upper circuit in early trades.

Sterling Biotech, Hikal, supreme Petro, United Phosphorous, Hyderabad Industries, Micro Technologies and BPL are among the major mid-cap gainers.

Navneet Publications, Pudumjee Agro, Tips Industries, Emami Limited, Softpro Solutions and Schenectady Herdillia are the major mid-cap losers.