Sensex rebound over 200 points; energy stocks jump as oil prices cool off

Mumbai: Domestic equity benchmark BSE Sensex jumped over 200 points in early session on Wednesday, driven by gains in energy and banking stocks, amid positive global cues.

The 30-share index was trading 186.94 points, or 0.51 per cent, higher at 36,668.03 at 0930 hours, while the broader Nifty rose 43.15 points, or 0.40 per cent, to 10,860.75.

In the previous session, the BSE barometer plunged 642.22 points, or 1.73 per cent, to 36,481.09, while the Nifty fell 185.90 points, or 1.69 per cent, to 10,817.60.

Top gainers in the Sensex pack in early trade included Bajaj Finance, Reliance Industries, SBI, Yes Bank, Axis Bank, Kotak Bank, Tata Steel, Vedanta, Asian Paints, Bharti Airtel, HCL Tech, HDFC and TCS, rising up to 2.10 per cent.

On the other hand, Maruti, Hero MotoCorp, Tata Motors, HUL, ONGC and ITC fell up to 1.50 per cent.

According to experts, market sentiment recovered on positive news on multiple geopolitical fronts like oil prices and US-China trade talks.

Equity markets took a breather as oil prices cooled off after Saudi Arabia's energy minister said that more than half of the country's daily crude oil production that was knocked out by an attack had been recovered, assuring that production capacity at its targeted plants would be fully restored by the end of the month.

Further, US President Donald Trump said a trade agreement between the US and China was likely to happen either before or immediately after the American elections.

Global investor sentiment is also buoyed on expectations of a US Fed interest rate cut later in the day, experts said.

Elsewhere in Asia, Shanghai Composite Index, Hang Seng and Kospi were trading in the green in their respective late morning sessions, while Nikkei was in the negative territory.

On Wall Street, bourses ended on a positive note on Tuesday.

The rupee, meanwhile, recovered 29 paise (intra-day) against its previous close at 71.49 in early session.

Global oil benchmark Brent crude fell 0.22 per cent to 64.41 per barrel (intra-day).

On Tuesday, foreign portfolio investor sold shares worth a net of Rs 808.29 crore, while domestic institutional investors bought equities worth Rs 85.76 crore, provisional data showed.