Sensex back in the black

The Bombay Stock Exchange benchmark Sensex rebounded today by rising over 202 points with funds buying on firm global trends, especially from China.

The Sensex, which dropped 226 points in the previous trading session, bounced back to add 202.68 points, or 1.37 per cent, to reach 15,012.32. It touched the day’s high of 15,145.00 as most of the heavyweight stocks recovered.

The wide-based National Stock Exchange index Nifty shot up to 4,492.80 before ending at 4,453.45, revealing a net gain of 59.35 points.

Marketmen said the benchmark fell 5.5 per cent this month on worries that the weak monsoon will hit crucial rural demand and pose a hurdle to economic recovery.

They said high valuations and looming inflation weighed on investor confidence, restricted today’s surge.

Trading sentiment improved after a surge in Asian stock markets and a better opening in Europe this afternoon. China’s Shanghai composite index spurted 4.52 per cent, Hong Kong’s Heng Seng index 1.88 per cent, Japan’s Nikkei 1.76 per cent and Singapore’s Straits Times 1.46 per cent.

Market players were optimistic that global economic recovery would start with China, brokers said.