Mumbai: The benchmark Sensex Monday recovered by nearly 87 points to end at 26,384.07 boosted by fag-end buying in metal, banking, IT shares coupled with positive European cues.
The BSE Sensex resumed lower at 26,275.07 and then fell further to a two-month low of 26,092.69 on initial selling in key sectors as India's industrial production growth remained subdued in August. Worries over foreign capital outflows and sharp fall in US markets last Friday also weighed.
However, the index recovered afterwards to 26,443.16 before concluding the day at 26,384.07, showing a gain of 86.69 pts or 0.33 percent. Better-than-expected Chinese trade data and crude oil prices falling to near 4-year lows also provided some support.
The Sensex had lost 339.90 points, or 1.28 percent, last Friday on profit-booking and Eurozone growth worries.
Like the Sensex, the NSE 50-share Nifty gained 24.30 points, or 0.31 percent, to finish at 7,884.25.
"Volumes continued to falter and remained lower than Friday's trading session. PSU Banks, Metal and Energy stocks remained the top performing sectors while Realty, Pharma and FMCG faced the maximum selling pressure in the day," said Rakesh Goyal, Senior Vice President, Bonanza Portfolio.
Market participants are eyeing monthly Consumer Price Index (CPI) data and quaterly earnings of Reliance Industries. These are expected to set the tone for trading tomorrow.
Most Asian stocks ended lower as concerns about global economic growth remained. Key benchmark indices in China, Singapore, Taiwan and South Korea fell 0.36-2.84 percent while the barometer in Hong Kong inched up 0.24 percent.
Meanwhile, European makets witnessed a strong rebound and were trading positively with France, Germany and UK indices moving up 0.05 percent to 0.48 percent.
Locally, Foreign Portfolio investors (FPIs) sold shares worth net Rs 719.77 crore last Friday as per the provisional data from stock exchanges.
Seventeen scrips out of the 30-share Sensex pack ended higher while 13 finished lower.
Major gainers from the Sensex were Tata Power (2.90 percent), Tata Steel (2.14 percent), Coal India (1.91 percent), Axis Bank (1.90 percent), TCS (1.54 percent), Infosys (1.40 percent), SBI (1.22 percent) , HDFC (1.14 percent), ICICI Bank (1.13 percent), HDFC Bank (1.08 percent), Hero Motocorp (0.87) and Tata Motors (0.81 percent).
However, M&M fell by 3.66 percent, followed by Cipla 2.68 percent, Sun Pharma 1.86 percent, Dr Reddy's 1.76 percent, BHEL 1.29 percent, L&T 0.98 percent and ITC 0.72 percent.
Among the S&P BSE sectoral indices, Metal index surged by 1.37 percent, followed by Bankex 1.35 percent, IT 1.17 percent and Teck 0.97 percent while Realty dropped by 1.79 percent and Healthcare 1.04 percent.
Total market breadth remained negative as 1,479 stocks closed in red while 1,438 finished in green. Total turnover fell to Rs 2,426.68 crore from Rs 3,055.53 crore last Friday.
