SENSEX RECOVERS INITIAL LOSSES, UP BY 55 PTS IN MORNING TRADE

Wednesday, February 18, 2009

Posted by Snehsan

After resuming lower below the 9K-mark on the back of distinctly weak global cues, the benchmark recovered sharply to quote in positive terrain at 9,089.72 in early deals, supported by good buying from domestic funds. Recovery in the Sensex was led by smart rise in the Reliance Industries (RIL) and ONGC. The Bombay Stock Exchange 30-share barometer initially touched a low of 8,922.31 but rebounded to quote at 9,089.72 at 1015 hours, a rise of 54.72 points, or 0.61 per cent, over the previous close. The bellwether index had lost a massive 600 points in the last two sessions due to the disappointing interim Budget. The broader 50-issue Nifty of the National Stock Exchange also recouped by 14.05 points, or 0.51 per cent, to 2,784.55 at 1015 hours from its last close. Market participants attributed lower opening to weak global cues. Most of the Asian indices were trading lower due to steep fall on Wall Street yesterday. The Dow Jones Industrial Average and the Nasdaq Composite Index tumbled by 3.79 per cent and 63.70 per cent, respectively, due to worsening economic conditions and fears about the health of the financial sector as regional manufacturing data signalled the further downturn.