Sensex recovers 54 points in early trade on corporate earnings

Mumbai: The BSE Sensex recovered by about 54 points in early trade on Friday on fresh buying by investors after ITC Ltd reported better-than-expected earnings.

The 30-share index, which had lost 205.37 points in the previous session, rebounded 53.67 points or 0.19 percent to 27,764.19 with stocks of FMCG, power, capital goods, auto, consumer durables and healthcare, rising by up to 0.75 percent.

Similarly, the broader NSE Nifty was trading 15.30 points or 0.17 percent higher at 8,525.40.

Buying activity emerged after FMCG major ITC Ltd yesterday reported posted an over 10 percent rise in standalone net profit at Rs 2,384.67 crore for April-June quarter.

Shares of ITC Ltd climbed 1.04 percent to Rs 253.25 in early trade.

Other gainers that supported the recovery were GAIL, Power Grid, Asian paints, Tata Motors, M&M, NTPC, L&T and RIL.

Traders said, however, a weak trend in other Asian bourses following overnight weakness in the US, restricted the rise on the domestic market.

In Asian, Japan's Nikkei fell 0.89 percent while Hong Kong's Hang Seng was down 0.40 percent in early trade. Shanghai Composite was 0.31 percent down.

The US Dow Jones Industrial Average ended 0.42 percent lower yesterday.