New Delhi: Finance minister P Chidambaram has sounded out that the solid increase in the Sensex to record peaks has troubled him sometimes.

Mr. Chidambaram also showed worry over the rupee’s growth, and said, “the rupee rise is not in our comfort zone.”

At a meeting with media-persons in New Delhi, Chidambaram said, “The steep rise in Sensex sometimes surprises me, sometimes worries me. I do not think fundamentals change so rapidly day-to-day. Our assessment tells us Sensex is driven by copious flow of funds from a number of sources abroad.”

Chidambaram’s remarks came after the Sensex attain 16th record high in just 17 sessions on Friday morning, but afterward closed down 2.1% down at 18,419.04.

“To some extent speculators are taking advantage of the rise in the Sensex... Things will cool down,” Chidambaram told, adding, “the Sensex is an index of 30 stocks (and) as such it is a number. We don’t invest our future in Sensex.”

The stock market had lost heavily in August on worries regarding the US credit crisis. The Sensex that was dealing at the 14,000 level in July, has earned more than 4,500 points in the September. The Sensex has gained over 20 per cent since September 18, as FIIs have pumped-up more than $6.2 billion after the US Fed slash interest rates.

Chidambaram also stated that the rupee’s advancement to its 9-1/2 year records versus the US dollar had taken it out of the government’s fundamental quantity. But, he said that the governmental agencies would gain control over the abundant quantities of capital falling into the financial system.

Chidambaram said that the inflows had contributed to the rupee’s increase The rupee has climbed over 12.5 per cent in the existing year.

“The rupee rise is not in our comfort zone,” he said, adding, “We have announced relief for our exporters. We are constantly monitoring the situation. We must find ways to manage competitive exchange rate without hurting investments.”

While speaking at the summit, the finance minister said, “As investors are getting very good returns, i don’t believe that they are waiting to take their money out. As long as foreign investors find India attractive, there is no reason to conclude that money will flow out... this defies common sense.”