Mumbai: The sensex opened moderately higher and later rose post 5500-level during morning trading on early stocks rally on the Stock Exchange in Mumbai today (Sep 29, 2004) on selective buying support from operators and retail investors.

Foreign Institutions Investors, which have slowed down their activity in the face of growing concerns over rising international crude oil prices, reported net purchases of Rs 39 crore on Monday (Sep 27, 2004).

The BSE Benchmark 30-share Index opened up at 5472.70 as against yesterday's (Sep 28, 2004) close of 5462.61 and later firmed up to a high of 5500.52 before being quoted at 5484.68 at 10.30 hrs (IST), up by 22.07 points.

Operators and retail investors were believed to be covering short positions in several key counters a day ahead of the expiry of September contract in the futures and options, brokers said.

The sentiment was also aided by a smart rally on Wall Street last night. The Dow Jones Industrial Average and the Nasdaq Composite Index yesterday ended up by 88.86 points and 9.99 points respectively.

Meanwhile, International oil prices remained well over $50 per barrel and kept the market under pressure.

Key stocks including RIL, SBI, Satyam Computers, Infosys Tech, ITC, ONGC, BHEL, Wipro, HPCL, HDFC Bank and Grasim were quoted remarkably higher.