Sensex snaps three week losing streak, bounces back by 435 points

Mumbai: The BSE Sensex snapped its 3-week losing streak by recovering 435 points to end at 24,870.69 on fag-end buying as investors built fresh long positions in view of the new derivatives series and positive global cues after Bank of Japan adopted negative interest rate policy.

"Market welcomed the February series on a firm note led by strong global cues and rebound in crude oil prices. Further, Bank of Japan negative interest rate policy and strong rupee has also cheered the sentiment of the investors," Hem Securities Director Gaurav Jain said.

The Sensex resumed higher at 24,540.97 and hovered in a range of 24,911.90 and 24,340.06 before ending at 24,870.69, showing a gain of 435.03 points or 1.78 per cent. The Sensex had dropped by 1,725.24 points or 6.59 per cent in previous three weeks.

The 50-share Nifty also rose by 141.10 points, or 1.90 per cent, to 7,563.55. It had tumbled by 540.75 points or 6.79 per cent in previous week. At the conclusion of its policy meet, the US Fed kept the door open for more interest rate hikes this year despite the lingering global economic uncertainty, which still added to the anxiety level.

However, the market got a boost following prospects of more stimulus in Europe and Japan and a recovery in oil prices due to a severe storm in the US.