Sensex rebounds over 100 points; Rupee at 64.04 against US dollar

Mumbai :The benchmark BSE Sensex rebounded over 100 points in early trade today, after three sessions of losses, on value-buying by investors in select blue-chips amid a mixed trend at other Asian markets.

Besides, covering-up of pending short positions by speculators ahead of the July month’s expiry in the derivatives segment on Thursday supported the recovery.

The 30-share index was trading higher by 100.08 points, or 0.36 per cent, at 27,661.46, with teck, IT, consumer durables, capital goods, healthcare and banking sectors leading the recovery.

The gauge had lost 943.55 points in the previous three sessions on muted earnings by some bluechip companies amid fears over stricter norms on participatory notes (PNs) and a Chinese stock rout.

On similar lines, the NSE Nifty was up 30.75 points, or 0.36 per cent, at 8,391.75 in early trade.

Brokers said value-buying in recently beaten down select blue-chip stocks coupled with covering-up of short positions by speculators influenced trading sentiments.

Among Asian markets, Hong Kong’s Hang Seng gained 1.86 per cent while Japan’s Nikkei fell 0.94 per cent in early trade today.

The US Dow Jones Industrial Average fell 0.73 per cent in yesterday’s trade.

The rupee recovered by 12 paise to 64.04 against the dollar in early trade today on fresh selling of the US currency by exporters.

Forex dealers said a weakening dollar against some currencies overseas and early gains in domestic equity markets also supported the rupee.

The rupee had lost 12 paise to close at a new 6-week low of 64.16 per dollar yesterday on persistent demand for the US currency from banks and importers amid a massive plunge in equities.

The benchmark BSE Sensex rose by 100.08 points, or 0.36 per cent, to 27,661.46 in early trade.