Mumbai: Spurred by a sharp rally in old economy stocks in particular and PSU shares in general, the SENSEX jumped to a ten-week high at 3180.75 and the BSE-PSU index scaled a new peak at 2156.25 on the Stock Exchange, Mumbai, (BSE) during the week under review.

Turning around strongly, the BSE benchmark 30-share Index flared up by 4.29 per cent or 130.91 per cent to end the week at 3180.75 as against last weekend's close of 3049.84 while the BSE-PSU index climbed by 146.45 points to conclude the week at yet another new scale at 2156.25.

Old economy heavyweights like Reliance Industries Ltd (RIL), HLL, ACC, Bajaj Auto, Cipla, Dr Reddy's Lab, HPCL, ITC, L&T, SBI and Tisco contributed heavily to the index kitty.

The consistent stocks rally was attributed to various positive developments including sharp appreciation in Indian rupee to the dollar, expectations of above normal monsoon this year and continued optimism among investors about positive steps by the government on disinvestment front.

Brokers also cited the flow of announcements of excellent quarterly working results and attractive dividends offered by major corporates during the week as one of the strong factors for accentuation of the firm sentiment.

Foreign Institutional Investors (FIIs) that, more or less, had slowed down activity, stepped their investments in cyclical stocks, making net purchases of Rs 505 crore in the first four sessions of the week.

However, they were believed to be booking profits in IT sector in a bid to change their portfolios, as a result, tech stocks remained under pressure.

PTI