Mumbai: Snapping its six-session losing streak, the Bombay Stock Exchange benchmark Sensex made a strong comeback by rising nearly 400 points in early trade Wednesday, supported by a rebound on other Asian bourses.
The 30-share BSE barometer, which has lost nearly 1,455 points in the past six sessions to hit a 14-month low, rose by 398.55 points to 17,256.46 as stocks led by the recently battered technology sector moved into positive terrain with gains of up to 2.96 percent in morning trade.
Similarly, the broad-based National Stock Exchange Nifty index shot up by 107.95 points to 5,180.80.
Brokers said a fresh spell of buying by funds and investors powered the Sensex’s rise in initial trade, spurred by a firming trend in other Asian markets following overnight gains in the US after the Federal Reserve announced that it would keep interest rates near zero for at least two years.
In addition, covering up of short positions by speculators supported the recovery, they said.
In the Asian region, Hong Kong’s Hang Seng index rose by 3.70 percent, while Japan’s Nikkei gained 1.72 percent in morning trade Wednesday. The US Dow Jones Industrial Average ended 3.98 percent higher in the previous session.