Sensex takes 26 trading sessions to reach 14,000 from 13,000

The Sensex came off the higher level after striking the psychologically important level of 14,000 in opening trade.

At 10:24 IST, Sensex was up 69 points at 13,943.

Sensex opened with an upward gap of 154.14 points at 14,028.47, a record high.

It took just 26 trading sessions for the Sensex to reache 14,000 level after it had first struck 13,000 mark on 30 October. The 1,000 points point rally came in without any worthwhile correction. Strong FII inflow, healthy corporate earnings and continued strong economic data fuelled the surge. The latest surge on the bourses was also fuelled by expectations of reduction in transport costs for corporates after the government last week cut diesel price by rupee one litre and petrol price by Rs 2 per litre.

The cumulative FII inflow in 2006 has reached $8.9 billion compared to a record inflow of $10.7 billion in 2005. Strong global liquidity has aided FII inflow.

The latest 1,000 points surge in Sensex came in at a much faster pace compared to the previous 1,000 points from 12,000 to 13,000 which took little over 6 months thanks to a major setback on the bourses in May-June 2006.