The Bombay Stock Exchange benchmark index Sensex pared its early losses and rose by nearly 43 points in late morning trade on covering-up of pending short positions by speculators amid selective buying by investors.
The 30-share index, which had opened lower by 138 points, bounced back by 42.77 points to 15,374.71 at 1115 hrs with auto and oil and gas sectors stocks leading the recovery.
Meanwhile, the wide-based National Stock Exchange’s index Nifty gained 9.09 points at 4,573.15 levels.
Brokers said short-covering by speculators ahead of the monthly expiry in the derivatives segment tomorrow and emergence of buying, though selective, by investors and funds helped the Sensex recover.
Among auto stocks, Hero Honda gained 2.22 per cent at Rs 1,711, Mahindra and Mahindra moved up by 2.20 per cent to Rs 840.90, while Maruti Suzuki gained 1.38 per cent to Rs 1,408.
In the oil and gas sector, Reliance Industries recovered by 0.30 per cent at Rs 1,916, RNRL by 2.96 per cent at Rs 85.15, ONGC by 2.52 per cent at Rs 1,130.10 and Aban Offshore by 2.96 per cent at Rs 994.