Mumbai: The benchmark BSE Sensex was trading above the 29,000-mark by rising over 79 points in early trade on Tuesday as participants made selective buying ahead of monthly expiry in the derivatives segment on Thursday and the Union Budget on Saturday.
The 30-share barometer gained 79.71 points, or 0.27 percent, to 29,054.82. The index had lost 487.16 points in the previous two sessions.
Sectoral indices led by realty, FMCG, consumer durables, capital goods and healthcare were trading in positive zone with gains up to 1.06 percent.
Similarly, the wide-based National Stock Exchange Nifty index edged higher by 13.10 points, or 0.15 percent, to 8,768.05.
Brokers said fresh buying by investors and covering-up of short positions by speculators in view of February's month expiry in the derivatives segment on Thursday helped stocks to recover.
Besides, optimism over the Budget on Saturday and a mixed trend at other Asian markets influenced trading sentiments, they added.
Among other Asian markets, Hong Kong's Hang Seng index was down by 0.22 percent, while Japan's Nikkei index gained 0.13 percent in early trade today. The US Dow Jones Industrial Average ended 0.13 percent lower yesterday following lacklustre housing data.--PTI