The benchmark BSE Sensex rose by 118.18 points or 0.42 per cent to 28,108.39 in early trade today.

Furthermore, short-covering of positions by investors in view of tomorrow's August monthly derivatives contract expiry contributed to the upmove.

NSE Nifty hiked 28.45 points, or 0.32 %, to 8,661.05.

As per the Brokers said, “pick-up in buying activity and covering-up of outstanding short positions by speculators ahead of August month expiry tomorrow in the derivatives segment had a positive impact."

They added that, “A mixed trend at other Asian bourses, tracking overnight rally on the US and European markets too influenced sentiment”

The US Dow Jones Industrial Average ended 0.10 % superior on Tuesday.