Mumbai: The SENSEX opened better and later rallied further in line with a continued upsurge in key stocks during morning trading on the Stock Exchange, Mumbai (BSE) on June 12, on sustained purchases by foreign funds.

The BSE SENSITIVE INDEX opened moderately higher at 3318.90 as against June 11's close of 3314.60 and later firmed up to a high at 3339.59 before being quoted at 3335.34 at 10.45 hours.

Brokers said operators have turned bullish on the back of fund-based buying in blue-chip counters.

The sentiment was also aided by a smart rally in New York stocks on June 11. The Dow Jones Industrial Average gained by 105 points while the NASDAQ COMPOSITE INDEX improved further by 14.50 points on June 11.

Foreign Institutional Investors (FIIs) that have been making consistent net investments on the bourses for the past several sessions were believed to be heavy buyers in heavyweights like RIL, Infosys Tech, Satyam Computers, Grasim Ind, HLL, BHEL, Telco and a few others.

Speculators seemed to have availed the opportunity and were seen extending their commitments in select key stocks at the prevailing market price.

PTI