Markets have rallied further after recovering from early jitters, helped mostly by the surge in technology stocks. Reliance Industries and select engineering stocks are also supporting the up trend.

Sensex is trading higher by 162 points at 10777 at 01.10 PM.

Nifty is trading higher by 40 points at 3156.

Infosys has rallied further from its strong opening. The stock is now trading more than 7 per cent higher and is the biggest gainer among index stocks.

Other technology stocks have also gained further ground, led by HCL Technologies which is trading nearly 6 per cent higher. TCS has surged nearly 5 per cent while Satyam and Wipro have gained around 3 per cent each.

Index heavyweight Reliance Industries is seeing good interest and has added nearly 3 per cent. ONGC has recovered and has gained over 0.5 per cent.

Engineering stocks have also added to their early gains. L&T is trading more than 3 per cent higher while Suzlon is trading nearly 3 per cent higher. Siemens and BHEL have added over a per cent each.

Hindalco and Gujarat Ambuja Cements are the other major gainers, trading close to 2.5 per cent each higher.

Stocks which were weak in early trades continue to remain so despite the firm up trend in the indices. Oil marketing stocks are the worth hit with BPCL losing more than 4 per cent to be the biggest loser among index stocks.

HPCL and Indian Oil are down nearly 2.5 per cent each.

Among power utility stocks, Reliance Energy is down nearly 2 per cent and Tata Power has shed close to 1.5 per cent.

HDFC Bank is still down 1.5 per cent while ICICI Bank has given up nearly a per cent.

Jet Airways has come off its lows but is still down 1.5 per cent.

Among other major losers, Glaxo is down 2.5 per cent and Nalco has lost over 2 per cent. Bharti Airtel and Bajaj Auto are down nearly 1.5 per cent each.

Mid-caps and small caps have recovered almost all their losses as the surge in frontline stocks have led to some buying in mid-caps. The mid-cap index is now trading with marginal losses of 0.1 per cent. Market breadth on the NSE has improved with less than 1.5 stocks declining for every advancing stock.

BSE mid-cap index is trading with marginal gains while the BSE small-cap index is marginally down.

Mid-cap IT stocks have rallied and are trading with significant gains on expectations of strong results. Sonata Software, Zensar Technologies, Helios & Matheson, Nucleus Software and Kale Consultants are among the major mid-cap IT gainers.

Avaya Global, Crest Animation, Balmer Lawrie, JK Cement and Prime Securities are among the other major mid-cap gainers

I-Gate Global, FACT, Jindal Photo and Nova Petro are the major mid-cap losers.