In choppy trade, the Bombay Stock Exchange benchmark Sensex on Friday posted a gain of nearly 158 points to close in positive terrain after losing over 100 points in early trade.
The 30-share Sensex closed higher by 157.76 points at 14,401.49 as buying picked up at lower levels. The barometer had lost over 400 points on Thursday.
The National Stock Exchange index Nifty also rose by 63.60 points at 4,327.45. It touched a high of 4,337 and a low of 4248 points during the day.
Marketmen said trading was highly volatile after inflation rose again and crude oil prices firmed up.
They said the session ended in positive zone following a surge in heavyweight stocks. Short-covering ahead of the expiring of August contract in the derivative section was also boosting factor, they added.
Trading sentiment improved after heavyweight Reliance Industries rose 1.51 per cent on easing of concerns over a dispute with Anil Ambani Group company RNRL over distribution of natural gas.
Reliance Industries rose by Rs 33.30 at Rs 2245.65, Infosys Technologies by Rs 30.60 at Rs 1695.05, BHEL by Rs 46.10 at Rs 1715.95, HDFC Bank by Rs 28.90 at rs 1194.70 and ICICI Bank by Rs 1.40 at Rs 644.50. All the five stocks carry nearly 40 per cent weightage on the Sensex.