Sensex bounces back, recovers 188 points on buying spree

Mumbai: Market staged a smart recovery from its initial losses as the Sensex rebounded nearly 188 points to 26,951 helped by buying in key frontline shares in power, metal and energy despite subdued Asian cues. The market gained following bouts of value-buying and a spell of short-covering amid caution ahead of release of key IIP numbers for April slated for the day.

The 30-share index resumed higher before quoting at 26,951.26 at 1116 hours, a gain of 187.80 points, or 0.70 per cent. The NSE 50-share Nifty was higher by 58.65 points, or 0.71 per cent at 8,262.25.

Major gainers were BHEL 3.63 per cent, M&M 1.77, Lupin 1.45 per cent, Cipla 1.21 per cent, Adani Ports 1.11 per cent, NTPC 1.10 per cent and Reliance 1.06 per cent.

Foreign portfolio investors (FPIs) bought shares worth net Rs 234.20 crore yesterday, as per provisional data from the stock exchanges.

Asian markets were trading lower as investors sought refuge in safe-haven assets amid worries over the June 23 British referendum on its European Union membership.

US stocks dropped yesterday after three days of gains as crude oil futures pulled back from 10-month highs.