Sen Sensex gains 127 points in opening trade

The 30-share index, which lost nearly 400 points in the previous three sessions, rose by 127.35 points, or 0.76 per cent, to 16,858.92 in the first few minutes of trade today.

In a similar fashion, the wide-based National Stock Exchange Nifty index moved up by 37.30 points, or 0.74 per cent, to 5,073.10 in the first few minutes of trade. Banking, metal, oil and gas and PSUs stocks led the recovery.

Brokers attributed the recovery to fresh buying by funds and retail investors at prevailing levels. In addition, covering up of short positions by speculators also helped stocks trade in the positive zone.

In the Asian region, Japan's Nikkei index was trading 0.65 per cent lower, while Hong Kong's Hang Seng Index rose by 0.63 per cent in early trade today. The US Dow Jones Industrial Average ended 0.67 per cent down in yesterday's trade amid escalating concerns over the euro zone debt crisis.