Sensex gains 149 pts, RIL surges 4%

Smart rebound in European markets as well as in the top heavyweight RIL helped the benchmark Sensex to wash out its morning losses and recover by over 149 points to end at more-than 3-week high of 16,862.81.

European stocks bounced back today following strong rise in Swiss equities after the Swiss National Bank stepped in to arrest the rising franc by setting a minimum exchange rate against the euro, which was said to be positive for market.

RIL, the most valuable company, continued its upward march after Monday's brief respite and was the top gainer from the Sensex pack with a rise of 4.05 per cent, adding more than 65 points to the Sensex gain.

Taking a cue from weak Asian markets, the Bombay Stock Exchange 30-share barometer commenced shaky and dropped to a low of 16,488.30, displaying a fall of about 225 points.

However, higher opening in European stocks amid smart rise in petro-chem giant, RIL, assisted the Sensex to spring back to settle at more-than 3-week high of 16,862.81, a gain of 149.48 points or 0.89 per cent. On Monday, it had fallen by over 108 points or 0.64 per cent.

Similarly, the broader NSE 50-issue Nifty also recouped by 47.10 points or 0.94 per cent to 5,064.30.

Barring RIL, other key stocks like Infosys Tech, M&M, L&T, ICICI Bank, ONGC, BHEL, HDFC and HDFC Banks also closed with marked to moderate gains and aided the uptrend.

Asian markets ended mixed with downward bias on concerns over the European debt problems amid lack of any cues from US as New York markets were closed on Monday for the Labour Day holiday.