Snapping four days of losses, markets on Friday gained over 290 points, with institutional as well as general investors buying into fundamentally strong shares available at relatively lower levels now.
The benchmark Sensex on the Bombay Stock Exchange settled the day higher by 290.79 points at 15,689.12. Friday’s gains come after losing nearly 524 points in the previous four days of trading.
Marketmen said buying activity got support as investors calculated that the recent fall was overdone.
The National Stock Exchange index Nifty also rose to a high of 4,697.20, before ending at 4,680.40, points, a net gain of 86.85 points.
The Sensex gains were mainly on the back of buying in commodity and auto shares. Metals rose on speculation that economic recovery will increase demand.
A higher opening at European stocks further brought back confidence among investors and boosted the uptrend.
In the 30 BSE index stocks, barring Tata Motors and Tata Consultancy Services, all other 28 stocks closed with gains.