Sensex up 161 pts in early trade; IT stocks lead recovery
Mumbai: The BSE benchmark Sensex on Wednesday recovered over 161 points in early trade after yesterday's steep fall, on the back of rally in IT, healthcare and metal sector stocks due to fresh buying by funds and retail investors.
The 30-share barometer rose 161.31 points, or 0.88 per cent, to 18,395.97, supported by increased buying in beaten down bluechip stocks.
The index had lost 651.47 points yesterday. Similarly, the wide-based National Stock Exchange index Nifty moved up by 45.55 points, or 0.85 per cent, to 5,387.00.
Brokers said sentiments turned better after funds and retail investors made fresh purchases at selective stocks, available at attractive levels.
Stocks of IT companies were in good demand on expectations that strengthening dollar would improve their earnings as 60 per cent of their revenues come from US and European markets.
However, stocks in the realty segment faced selling pressure after the RBI tightened norms for disbursal of home loans.
DLF plunged 2.75 per cent to Rs 123.90, while Indiabulls Real Estate fell by 1.97 per cent to Rs 54.75.
The IT sector index was trading 1.61 per cent higher at 8,053.11 points as stocks of Infosys were up by 1.98 per cent to Rs 3,094, while TCS gained 1.30 per cent to Rs 2,026.85. Meanwhile, in other Asian markets, Hong Kong's Hang Seng index shed 0.99 per cent, while Japan's Nikkei down 0.74 per cent in early trade.
The US Dow Jones Industrial Average ended 0.16 per cent higher in yesterday's trade.
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