The 30-share index Sensex gained around 800 points during the week, which ended on September 17.

It is said to be the sharpest rally in more than 12 months, as foreign institutions made huge investments on account of sturdy macro-economic situation.

The BSE Sensex grew by 795.09 points (4.23%) during the week.

For the second consecutive week, stong fund inflows from FIIs headed the rally at the Indian stock markets.

Moreover, the Sensex surged 1,373 points during the last two trading weeks.

On Thursday, Finance Minister Pranab Mukherjee announced that the economic system of the country would go up by 8.5% in the existing financial year, and 9% in the coming fiscal (2011-12).

Mr. Mukherjee added that the financial system of the country grew by 8.8% during the first quarter of the existing financial year (2010-11).

The BSE Sensex augmented 177.26 points (0.91%) to 19,594.75 on the last trading session (Sep 17), which was its highest closing level during the last 34 months.

The major gainers' list comprised RComm, which went up by 5.28%; ACC surged 3.24%; Bharti Airtel gained 2.93%; RIL grew by 2.58% and Sterlite Inds zoomed 2.09%.

In contrast, the broad-based Nifty ended the week at 5,884.95 after recording a gain of 56.25 points (0.97%).

The majority of Asian bourses gained on Friday, with Japan's Nikkei gaining 1.23%.

Hong Kong's Hang Seng marked its closure at 21,971, up 1.29%.

Dow Jones industrial index ended the week after surging 0.12% at 10,608. S&P 500 augmented 0.08% and Nasdaq added 0.54% to end the week at 2,315.61.

But, the FTSE 100 declined 0.57% to end the week at 5,508.45.

The German DAX fell 0.64% and the French CAC 40 dropped by 0.38%.