Taking positive leads from the global market and a narrowing current account deficit, the benchmark BSE Sensex recovered sharply by almost 259.65 points and the NSE Nifty recaptured the 7,800-mark Wednesday on the back of widespread gains in blue-chips.
Besides, covering-up of short positions by speculators helped things.
The 30-share index recovered 259.65 points to 25,850.30. The barometer lost 145.25 points in the previous session.
Also, the NSE Nifty retook the 7,800-level by recovering 79.85 points at 7,865.95.
Brokers said a fresh spell of buying triggered by a firming trend at other Asian bourses following overnight gains in the US in the wake of upbeat data on growth and consumer spending buoyed sentiment.
Besides, the current account deficit (CAD) narrowed to 1.6 percent of GDP at USD 8.2 billion in the second quarter ended September, which too was lapped up, they said.
The US Dow Jones Industrial Average closed higher by 0.96 percent in yesterday’s trade.