The BSE benchmark Sensex recovered by 101 points in late morning trade on fresh buying in power, healthcare, consumer durables, realty and refinery sectors.
Key benchmark indices drifted higher after an initial decline amid volatility. The market may remain volatile this week as traders roll over positions in the futures & options (F&O) segment from the near-month March 2015 to April 2015 series. The near month March 2015 derivatives contracts expire on Thursday.
The Sensex resumed lower at 28,209.33 and hovered in a range of 28,312.46 and 28,157.83 before quoting at 28,293.36 at 1030 hours, showing a rise of 101.34 points or 0.36 per cent from its last close.
The NSE 50-share Nifty also gained by 20.10 points or 0.24 per cent to 8,571.00 at 1030 hrs.
Major gainers were, SSLT by (1.81 pct), HDFC by (1.63 pct), BhartiAirtel 1.34 pct, BHEL by 1.33 pct, Sun Pharma by 1.27 pct, M&M by 1.10 pct and Dr Reddy by 1.08 pct.
However, Hindalco fell by 1.29 pct, followed by HeroMotoco by 1.02 pct, Tata Motors by 0.76 pct, HUL by 0.67 pct, Infosys by 0.63 and ONGC by 0.37 pct.
Meanwhile, Foreign portfolio investors (FPIs) bought shares worth a net Rs 417.41 crore and domestic institutional investors (DIIs) bought shares worth a net Rs 403.91 crore yesterday, as per provisional data of the stock exchanges.
Asian stocks edged lower in early trade after a preliminary March reading of Chinese manufacturing activity dropped to an 11-month low.
Key benchmark indices in South Korea, China, Taiwan, Hong Kong and Japan fell by 0.12 pct to 1.35 pct. Indices in Singapore and Indonesia rose by 0.14 pct to 0.25 pct.
Rupee extends gains, up 9 paise against dollar
Continuing its rising streak for the seventh straight session, the rupee rose by 9 paise to 62.18 against the dollar in early trade today at the Interbank Foreign Exchange on sustained selling of dollars by exporters.
Forex dealers said besides selling of the American currency by exporters and banks, dollar’s weakness against other currencies overseas also supported the rupee.
They said, however, a lower opening of the domestic equity market capped the rise.
The rupee had strengthened by 19 paise against US dollar to end at 62.27 in yesterday’s trade.
Meanwhile, the benchmark BSE Sensex was down by 34.19 points, or 0.12 per cent, to 28,157.83 in early trade today.