Sensex gains; IT gains, oil explorers fall

Reuters Market Eye - The Sensex gains 0.45 percent, rebounding from three-month lows hit in the previous session, while the 50-share Nifty is also up 0.5 percent.

Technology shares gain as a weakening rupee is seen benefiting returns from overseas profits: Infosys Ltd gains 1.4 percent, while Wipro Ltd is up 1.6 percent.

However, oil explorers extend falls on worries a cost-sharing recovery mechanism will be withdrawn after the government's planned move to a revenue-sharing policy from profit-sharing now.

Oil and Natural Gas Corp falls 0.8 percent and Oil India is down 1.3 percent, after budget failed to present a credible roadmap on subsidy reduction.

 

Overall, traders say sentiment remains weak after the 2013/14 budget unveiled on Thursday was seen as focusing on revenue-raising measures, including duties on wealthier income earners, to pay for an increase in spending.

Data showing worse-than-expected 4.5 percent growth in GDP in the quarter ended December, also hurt sentiment.

(Reporting by Abhishek Vishnoi)