The trading activity on major bourses yesterday witnessed a positive trend due to short-covering amidst the dark shadow of uncertainty on the political front and sluggishness on the economic continued to dampen spirits.
The BSE sensex registered a gain of 88.71 points, closing at 3126.34 compared with the previous close of 3037.63. The index opened at 3037.13, touched an intra-day high of 3129.69 and a low of 3037.13.
Marketmen, however, said the rally was expected to be short-lived and was unsustainable. The BSE witnessed trading in 2.60 shares worth Rs 329.17 crore with hectic trading activities concentrated in the A group stocks.
The National Stock Exchange witnessed a similar rally with the NSE-50 index gaining 23.7 points during the day.
The index opened at 874.70, touched a low of 872.83, before reaching a high of 900.53 and closed at 898.42.
Sources said the rally witnessed by the market yesterday was a technical correction as the market was in an over-sold position.
Sanjay Agarwal, chief executive officer of Lloyds Securities, said: "The buying witnessed in the market was of speculative nature and short-covering has also contributed to the rally.
