Sensex recovers 43 points in early trade on select buying

Mumbai: The BSE benchmark Sensex recovered 43 points in early trade today, snapping its tow-day losing streak, on fresh buying by investors in select blue-chips even as most Asian markets retreated after Italy’s Prime Minister resigned following a heavy referendum defeat. The 30-share index was trading higher by 42.63 points or 0.16 per cent to 26,273.29 with sectoral indices led by auto, FMCG, healthcare, PSU, metal and consumer durables leading the recovery.

The gauge had lost 422.15 points in the previous two sessions. The NSE Nifty was up 7.90 points or 0.09 per cent at 8,094.70 in early trade. Brokers said emergence of buying in select blue-chip stocks amid hopes that the RBI will lower interest rates at its policy review on Wednesday, influenced sentiments.

However, a weak trend in other Asian bourses after Italy’s Prime Minister Matteo Renzi resigned following a heavy referendum defeat, foreced investors to keep their commitments restricted. Among other Asian markets, Japan’s Nikkei fell 0.64 per cent, while Shanghai Composite Index was down 1.30 per cent in early trade today. Hong Kong’s Hang Seng fell 0.29 per cent. The US Dow Jones Industrial Average ended 0.11 per cent lower in Friday’s trade.