Market update: Sensex reverses falling trend, ends 116 points up

The benchmark Bombay Stock Exchange (BSE) Sensex, after slipping below the 27,000-mark in early trade on Monday, recovered smartly to end with a gain of over 116 points on good buying in bluechips including ITC, Tata Motors and ONGC even as global cues remained weak.

After a lower start at 27,008.12, the 30-share BSE index dipped below 27,000 to touch a low of 26,918.93, down over 170 points. Buying after mid-session, however, lifted the Sensex to settle at 27,206.74, logging a gain of 116.32 points, or 0.43 per cent.

On Friday, the index had fallen 21.79 points, snapping two consecutive days of gain.

Besides ITC, Tata Motors and ONGC that gained in 3-4 per cent range, major Sensex gainers included Hindustan Unilever, SBI, Axis Bank, Hero MotoCorp, ICICI Bank, Bajaj Auto, GAIL, HDFC and TCS.

The broader 50-share National Stock Exchange (NSE) Nifty, after slipping below the 8,100-level to touch a low of 8,064.80, bounced back to close 24.85 points (or 0.31 per cent) higher at 8,146.30.

Both Sensex and Nifty, which were struggling to maintain 27,000 and 8,100 respectively in early trade, managed to close above these levels.

"A fresh spell of buying in recent under-performers was a notable feature of today's session," said Deepak Pahwa, a Delhi-based broker.

Short covering ahead of monthly expiry on Thursday was also seen in select blue-chip stocks, traders said.

The Small-cap index was up 0.51 per cent and Mid-cap rose by 0.20 per cent, indicating continued retail investor interest.

Buying activity also picked up momentum in non-Sensex stocks. Gitanjali Gems, PC Jewellers, Petronet LNG, Jaiprakash Associates and PPAP Automotive, among others, logged gains.

A weak closing in Asian stocks and a lower opening in Europe on reports that China dampened speculation on a potential, however, capped the gains on domestic bourses.

Meanwhile, Foreign Portfolio Investors (FPIs) sold shares worth a net Rs 6.53 crore last Friday as per provisional data.

Sectorally, the BSE Consumer Durables sector index gained the most by surging 3.12 per cent, followed by FMCG index (1.90 per cent), Auto index (1.10 per cent), Oil & Gas index (0.88 per cent), and Banking index (0.29 per cent).