The 50-share NSE Nifty remained in a consolidation phase for the second consecutive session on Wednesday, especially ahead of F&O expiry tomorrow. European markets too were marginally higher amid volatility as investors seem cautious ahead of major event - European Union summit scheduled for June 28-29 in Brussels.
The BSE benchmark gained as much as 123 points intraday, before closing at 16,967.76, up 61.18 points over previous value. Meanwhile, the NSE benchmark went up 21.10 points to 5,141.90.
Listen to the accompanying audio for Moneycontrol's market wrap..
Experts feel the market will see some strength going ahead on hopes of progress on reforms and policy front in near term.
Amisha Vora, Joint Managing Director of Prabhudas Lilladher said the market should be little more positive from here on, though it would (to some extent) also depend on how the monsoon pans out. She also said there would be some hope building about the change in a key position in the government and few things coming by provided the attention is back to administration and policymaking."
Country's largest commercial vehicle maker Tata Motors tanked 3% on reports that there may be further slowdown in luxury car market particularly the state level purchase from China.
Private sector lenders ICICI Bank and HDFC Bank were up 0.8% each whereas top lender State Bank of India fell 0.13%.
Metals and mining stocks extended gains in late trade; Tata Steel shot up 2.5%. Coal India, Sterlite Industries and Hindalco Industries climbed 1-1.8%.
Software services exporters TCS and Infosys rallied 1% each. Infosys will declare its earnings for first quarter ended June 30, 2012 on July 12. However, Wipro was down 0.5%.
Private power suppliers Tata Power and Reliance Infrastructure surged 2% each after Delhi Electricity Regulatory Commission Chairman said power tariffs have been hiked in Delhi.
Index heavyweights Reliance Industries, Bharti Airtel and Larsen & Toubro