Sensex takes gains forward, up 49 points

Mumbai: The benchmark BSE Sensex rose about 49 points in early trade on Wednesday on increased buying by funds and retail investors amid mixed overseas cues.

Moreover, covering-up of pending short positions by speculators in view of tomorrow's December monthly expiry in the derivatives segment contributed to the upmove. Rising for the third straight session, the BSE 30-share barometer rose 48.88 points, or 0.18 percent, to 26,128.36. The gauge had rallied 240.77 points in the past two sessions.

All sectoral indices, led by metal, infrastructure and power, were in the green, rising up to 0.59 percent. Also, the NSE Nifty edged higher by 9.30 points, or 0.12 percent, to 7,938.25. Brokers said continued buying by investors in some blue-chip stocks had a positive impact too. However, they said, lack of participation with most foreign players on year-end holidays limited the gains.

Bucking the trend, United Spirits fell 1.80 percent to Rs 2,928.75 and United Breweries 0.53 percent to Rs 935.60 after the Supreme Court yesterday upheld the Kerala government's policy restricting issuance of bar licences to five-star hotels only. In other Asian markets, Japan's Nikkei was up 0.33 per cent while Hong Kong's Hang Seng fell 0.50 percent in early trade today.

The US Dow Jones Industrial Average ended 1.10 percent higher yesterday.