LED by the metal, banking and pharma sectors, the markets staged a smart recovery as most of the indices closed for the week on a positive note.
The markets recovered a part of Thursday's losses, buoyed by the strong bullish mood that could be gauged from the advances-declines ratio, which stood at 7:3.
The BSE Sensex recovered a part of Thursday's losses to close with a gain of 67 points. Earlier, it opened on a strong note at 7171.52; at around noon it touched the day's low of 7158.14.
Subsequently, the sensex, led by Reliance, ITC, Infosys and Tata Steel, gained 0.94 per cent.
The S&P CNX Nifty, which opened on a positive note, remained all through the day in the green. Recovering from the day's low of 4555.9 points, it touched a high of 4635.1 towards the end of the session.
The nifty closed for the day with a gain of 2.05 per cent, 3 points lower than the high.
Leading the banking sector were Indian Overseas Bank, UTI Bank, Vijaya Bank, Canara Bank, Kotak Bank and Bank of India - all of which gained more than 2 per cent. Federal Bank continued its march northwards as the stock gained 11 per cent to close at Rs 195.
Among the metal stocks, Lloyd Steel, Mukand, Essar Steel, Nava Bharat Ferro Alloys and Southern Iron registered smart gains of over 3 per cent. Sesa Goa gained 5 per cent to close on a strong note. It has gained Rs 100 in the last five sessions.
Media stocks were in the limelight as many of them registered smart gains. Crest Animation has gained 87 per cent since a month ago; it closed for the day at Rs 175.85. Shringar Cinemas (up 13.25 per cent), TV 18 (up 6.56 per cent), Zee Telefilms (up 6.3 per cent) and NDTV (up 2.23 per cent) were the other gainers.
Balaji Telefilms was out of favour among the media stocks; it declined 1.72 per cent.
A four-fold rise since January in carbon credit trades in the European markets appeared to have spurred prices of select chemical companies which are moving towards reduction in carbon dioxide emissions. Intense activity was recorded on some of these stocks.
Within an hour of opening a sharp seven-fold jump in volumes was recorded on the Gujarat Flurochemicals counter. It hit the circuit filter and remained locked at Rs 1070.55.
SRF was the other prominent gainer; the stock has gained about 40 per cent since a month ago. It closed for the day at Rs 239.25, with a gain of 8.18 per cent.
Provogue, which recorded sharp gains on listing, lost some of its sheen. It declined 5 per cent even as the volumes were down at 20 lakh shares.
Information of a rising mobile phone subscriber base appeared to have spurred Bharti Tele-Ventures. Backed by a nine-fold surge in volumes, it put on a smart gain of 5.07 per cent. Earlier in the day, the stock touched a 52-week high of Rs 259.9; it later closed at Rs 253.7.
Titan Industries' plans to come out with an equity offering created buying interest among investors as volumes on the counter jumped two-fold. Earlier in the day, the stock touched a new high of Rs 454.9, coming of its high it closed with a gain of 8.11 per cent.
Announcement by Patni Computers of its plans to raise funds by offering a sponsored ADS appeared to have caused a more than ten-fold surge in volumes on its counter. Coming of its day's high of Rs 365, it closed with a gain of 3.69 per cent.
Kinetic Motors' plans to raise funds by offering shares contributed to a six-fold jump in volumes as about 39,000 shares changed hands on the BSE. It closed for the day with a gain of 4.07 per cent. However, the stock has lost Rs 5 since a month ago.
Scandent Solutions, backed by a twelve-fold jump in volumes, gained 6.8 per cent to close for the day at Rs 232.35. Announcements of its plans to acquire a stake in BWH France appeared to have created buying interest in the stock as more than two lakh shares were traded on the counter.