Sensex erases initial losses, ends 49 pts higher

Overall, 17 Sensex scrips gained, 12 fell and Cipla ended unchanged.

The broad-based 50-issue CNX Nifty of the NSE ended up 21.50 points, or 0.36 per cent, at 6,022.40.  “Markets opened on a flat note and showed weakness in first part of trading day. The latter part saw good recovery from lows,” said Nidhi Saraswat, Senior Research Analyst, Bonanza Portfolio.

Short covering was seen in banking and capital goods stocks which have been beaten down, according to Shrikant Chouhan, Head- Technical Research, Kotak Securities.  Asian stocks closed mixed today.

Key indices from Japan and South Korea finished in the green while From Hong Kong, Singapore and Taiwan ended in the red. China market remain closed till February 7, 2014 for the Lunar New Year holiday.  European indices were trading in the green when Indian stock markets closed for the day.

Foreign Institutional Investors (FIIs) sold shares worth a net Rs 1,234.02 crore yesterday as per provisional data from the stock exchanges.