In early trade today, the benchmark BSE Sensex recovered about 154 points and the NSE Nifty reclaimed the 9,800- level on higher capital inflows.
The 30-share index, had surged by 235.44 points in the last session on Monday, was trading higher by 153.61 points, or 0.48 per cent, at 31,602.64.
According to the brokers said, "sentiment remained upbeat on the back of persistent buying by domestic institutional investors (DIIs) even as retail inflation jumped to 2.36 per cent in July."
Brokers also said, "a mixed trend at other Asian markets as fears receded over a potential clash between the US and North Korea and overnight gains at Wall Street also influenced sentiments here."
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