Sensex jumps 300 points, regains 26,000-level in afternoon trade

Mumbai: The benchmark BSE Sensex reclaimed the crucial 26,000-mark by jumping over 300 points, and the NSE Nifty was trading above the 7,900-level in afternoon trade on a flurry of buying by investors amid a firming trend overseas ahead of the Fed's rate decision this week.

The 30-share index jumped 300.82 points, or 1.17 per cent, to trade at over two-week high of 26,006.75 at 1315 hours in afternoon trade. The gauge had retreated from a two-week high by losing 150.77 points in the previous trading session. Sentiment was upbeat as investors widened bets tracking a firming trend at other Asian bourses, with Shanghai stocks closing up 4.89 per cent, as investors returned to the market amid speculation of state-led buying, brokers said.

Besides, a higher opening at European markets ahead of the crucial two-day US Federal Reserve meet starting today, buoyed sentiment here, they added. Sectoral indices led by bankex, healthcare, technology, auto and metal led the rally and were trading with gains up to 1.45 per cent.

Also, the 50-share NSE Nifty recaptured the psychological 7,900-mark by surging 84.80 points, or 1.08 per cent, at 7,913.90. Among the 30-Sensex constituents, Hero MotoCorp gained the most by rising 2.78 per cent to Rs 2,374.80, followed by Bharti Airtel adding 2.41 per cent at Rs 358.85. Other prominent gainers were Bajaj Auto, Axis Bank, Sun Pharma, Vedanta and Wipro.

Globally, the Shanghai Composite index closed 4.89 per cent higher and Hong Kong's Hang Seng surged 2.71 per cent while Japan's Nikkei ended 0.81 per cent. European markets were also in the positive terrain in early trade.