The Sensex snapped a six-session losing streak, shrugging off slower-than-expected growth in industrial output, as shares rebounded 1.8% on Wednesday, lifted by firm world markets. But foreign funds continued to sell and were net sellers on Wednesday.

The provisional figures furnished by BSE, showed that FII sold stocks worth Rs 371 crore while domestic institutional investors (DII) remained net buyers at over Rs 359 crore crore on Wednesday. ?The correction we saw in the last few days was very acute. Most negatives seem to be already priced in,? said Shashank Khade, executive vice president of portfolio management services at Kotak Securities. “Hence, the lower-than-expected IIP (index of industrial production) data also didn?t impact much.?

The 30-share Sensex of BSE index rose 1.76 %, or 337.76 points, to 19,534.10 points, with 22 of its components closing in the green. The broader S&P CNX Nifty of National Stock Exchange (NSE) added 109.15 points or 1.90% to end the day at 5,863.25 points.

Annual industrial output in Asia?s third-largest economy grew at its slowest in 18 months in November. The weak growth came during the end of the festive season in India, when many factories close during the Diwali holiday. The low number may also be due to a high base effect from the period in the previous year.

All eyes are now on the quarterly earnings parade, which kick starts on Thursday. ?World markets performed well today, helping the sentiment here. Let?s see how earnings pan out now and what surprises it has in store,? Kotak Securities? Khade said.

BNP Paribas expects Sensex-30 companies to report a 19.1% year-on-year growth in revenue and a 20.2% growth in profit. ?With the various pushes (robust growth) and pulls (political uncertainty, liquidity tightness, inflation) confronting the market, the earnings momentum will likely be the key determinant of market direction in the medium term,? BNP Paribas said in a note on Tuesday.

The NSE?s derivatives segment saw a turnover of over Rs 1.88 lakh crore gaining 17% against the previous session. The turnover in the cash segment on the NSE was approximately at Rs 15,300 crore up by 7% over Tuesday?s volumes.