The BSE benchmark Sensex recovered by nearly 69 points in early trade on Monday after three sessions of weakness on emergence of buying by funds and retailers ahead of inflation data.
The 30-share barometer, which lost nearly 405 points in the last three sessions, rose by 68.60 points, or 0.39%, to 17,282.30 with realty, banking and capital goods stocks leading the recovery.
Similarly, the wide-based National Stock Exchange index Nifty was up 19.60 points, or 0.37%, at 5,246.85.
Brokers said fresh buying by funds and retail investors ahead of inflation data to be released later on Monday amid hopes of encouraging first quarter earnings by leading companies influenced the trading sentiment.
Besides, a higher opening on Asian bourses also had a positive impact, they added.
In Asian region, the Hong Kong's Hang Seng index gained 0.17% in opening trade on Monday, while Japan's markets are closed today on account of public holiday.
US Dow Jones had ended 1.62 higher on Friday.