The BSE benchmark index, which had lost 360 points in last four trading sessions, fell by 123 points to a 4-week low of 17,367.55 in the morning on cautious trading amid expiry of current month's derivatives contracts.
The index, however, rebounded in the last 30 minutes of trade and closed at 17,367.55, 50.83 points higher than yesterday's close on brisk buying.
Brokers said trading sentiment bolstered on smooth expiry of August month series in the derivatives segment as traders covered their pending positions and placed a record business volume of Rs 3.33 lakh crore.
In the 30-share Sensex, 21 stocks led by Hindalco Industries (up 2.27 per cent), Cipla (1.57 pc) and HDFC Bank (0.98 pc) gained. Nine counters, however, ended with losses led by Gail (2.32 pc) and Maruti (2.13 pc). TCS, which hit new a high of Rs 1,378.50, closed 1.68 per cent. ITC shares also touched a new high of Rs 271.50 but closed flat.
"Shares climbed to day