Mumbai: Powered by the strong rupee and falling prices of petroleum products, old economy heavyweight stocks rallied sharply lifting the SENSEX by 47 points at close on the Bombay Stock Exchange May 26.

Public sector undertaking (PSU) counters remained in the forefront, extending their gains to the second successive week on optimistic developments on disinvestment front.

The BSE benchmark 30-share index opened marginally higher at 3,051.30 and gradually moved upwards to the intra-day high at 3,101.75, before ending at 3,096.69 as against May 23 close of 3,049.84, netting a sharp rise of 46.85 points or 1.54 per cent.

The broad-based BSE-100 index shot up by 29.10 points to 1,592.04 from previous close of 1,562.94.

Indian financial institutions reportedly were heavy buyers in several old economy shares despite reports that the monsoon would be delayed by some time.

Besides, key PSU stocks BHEL and HPCL, blue chips like RIL, ACC, SBI, Glaxo, GACL, HDFC, HLL, ICICI Bank, ITC, L&T and Ranbaxy Lab recorded sharp gains.

Software counters, however, met with fresh resistance due to selling by foreign funds, which were net buyers during last week, but seemed to have been changing their portfolios.

Satyam Computers, HCL Technologies and other second-line shares registered moderate losses.

The Rupee was trading around 46.90 to the Dollar keeping stocks of export-oriented companies under pressure.

PTI