Sensex surges 283 points, technology majors lead

The 30-scrip sensitive index (Sensex) of the Bombay Stock Exchange (BSE), which opened at 16,552.71 points, closed at 16,751.27 points, up 283.83 points or 1.72 percent from its previous close at 16,467.44 points.

It slipped to 16,387.38 points in the morning.

The 50-scrip S&P CNX Nifty of the National Stock Exchange too ended higher at 5,012.55 points, up 1.45 percent.

Broader markets too rose after a dull start. The BSE 100 index rose 1.52 percent.
Markets largely side-stepped the high inflation data that came in during the day.

Headline inflation for August was registered at 9.78 percent, which sparked speculation that the Reserve Bank of India could hike rates once again when it meets Friday for a review of the monetary policy.

The market breadth was positive with 1,528 stocks advancing, compared to 1,268 on the decline and 116 remaining unchanged.

According to data available with the Securities and Exchange Board of India (SEBI), foreign institutional investors sold stocks worth $78.48 million.

Major gainers on the Sensex included Infosys, up 5.78 percent at Rs.2,353.05; Wipro, up 4.34 percent at Rs.342.80; Hindustan Unilever, up 3.34 percent at Rs.352.60; and TCs, up 2.24 percent at Rs.1,017.05.

Prominent losers were Tata Power, down 1.92 percent at Rs.963.60; L&T, down 1.52 percent at Rs.1,609.50; Cipla, down 1.48 percent at Rs.282.90 and Bharti Airtel, down 0.7 percent at Rs.378.60.

Global markets were depressed as traders feared a debt default by Greece, which could have wider implications for other troubled economies in the Euro zone.

Japan's Nikkei closed 1.14 percent lower at 8,518.57 points, while Hong Kong's Hang Seng index ended 0.08 percent higher at 19,045.44 points.

Reopening after a holiday, Chinese markets edged up Wednesday. The Shanghai Composite index closed 0.55 percent higher at 2,484.83 points.

European bourses shot up after a weak start as traders took hope from China's announcement that it was willing to pick up debt in the financially troubled Euro zone and after France said it would help Greece in avoiding a debt default.

Britain's FTSE was up 1.82 percent at 5,268.42 points, while the German DAX was trading 3 percent higher at 5,321.19 points.

The French CAC 40 rose 2.02 percent to rule at 2,953.53 points.