Fag-end buying keeps markets in the green

Mumbai: Benchmark Sensex pared early losses to close 242 points higher, while Nifty settled above the 18,000-mark on Wednesday following gains in IT, oil and select banking stocks amid mixed global trends.

Extending gains for a second day, the 30-share BSE Sensex advanced 242.83 points or 0.40 per cent to close at 61,275.09 with 20 of its constituents ending in the green. The index opened lower at 60,990.05, but later regained foot to touch a high of 61,352.55 in day trade. The broader Nifty of NSE rose by 86 points or 0.48 per cent to settle above the 18,000-mark at 18,015.85, following gains in RIL, Tech Mahindra and Adani Enterprises.

As many as 37 of its stocks advanced while 13 declined.

"Despite a sluggish start in the domestic market, recovery in the IT and auto sectors contributed to a positive finish. A reversal in the FII pattern to net buying has also helped maintain optimism in the market,"said Vinod Nair, Head of Research at Geojit Financial Services.

"Weakness in the global markets was weighing on the sentiment in early trades, but resilience in the select heavyweights pushed the index gradually higher. Consequently, Nifty reclaimed the 18,000-mark, after struggling for three weeks. On the sectoral front, IT, auto and realty posted decent gains while defensive viz. pharma and FMCG traded subdued,"said Ajit Mishra, V-P (technical research), Religare Broking Ltd.

Foreign Portfolio Investors (FPIs) were net buyers, acquiring shares worth Rs 1,305.30 crore on Tuesday.

In the broader market, the BSE midcap index advanced 0.69 per cent while the smallcap index rose by 0.36 per cent. Among sectoral indices, BSE realty jumped 1.3 per cent, Telecom by 1.27 per cent, BSE Auto by 1.09 per cent, BSE IT by 0.95 per cent, and Commodities by 0.72 per cent. BSE Power dropped 0.73 per cent, Utilities by 0.49 per cent, and FMCG by 0.35 per cent. Market breadth was largely positive as of 3,600 stocks traded on BSE, 1,790 advanced, 1,682 declined and 128 closed unchanged