Sensex rises 121 pts, Nifty regains 9,400 level in early trade

The benchmark BSE Sensex recovered about 121 points and the Nifty regained the 9,400-mark in early trade on Wednesday on fresh buying by investors amid better-than-expected earnings.

Speculators covering up their short positions ahead of the May derivatives contract expiry on Thursday added to the upward move.

The BSE 30-share barometer rebounded by 120.54 points, or 0.40%, to 30,485.79. The gauge had lost 205.72 points in the previous session after investors booked profits amid volatile global cues in the aftermath of a terror attack in the UK.

Sectoral indices led by auto, capital goods, power, realty, and metal were in the green, adding up to 0.99%.

The NSE Nifty was also higher by 22.35 points or 0.24%, to quote at 9,408.50.

Traders said fresh spell of buying by retail investors and domestic institutions coupled with covering-up of outstanding short positions ahead of the May derivatives expiry helped recover the market.

Shares of Tata Motors surged 3.22% to Rs 464.60% even as the company yesterday posted fall in its earnings for the quarter ending March 31, 2017.

In Asian trade, Japan's Nikkei was up 0.48% while Shanghai Composite shed 0.45% in early trade today.

Hong Kong's Hang Seng fell 0.04%.

The US Dow Jones Industrial Average ended higher by 0.21% on May 23, 2017.