Sensex up 121 points as food inflation eases

Mumbai, Feb 17 (PTI) The Bombay Stock Exchange benchmarkSensex was up by over 121 points at mid-session as reports ofa decline in food inflation erased early losses.

The 30-share Sensex, which lost nearly 31 points inopening trade, bounced back and surged by 121.29 points to18,422.19 at 1230 hrs, with banking, capital goods and metalstocks recording fresh gains.

The early weak trend was reversed on reports that foodinflation fell for the second time in a row to 11.05 per centfor the week ended February 5 from 13.07 per cent in theprevious week.

In a similar fashion, the broad-based National StockExchange index Nifty rose by 41.50 points to 5,523.20 at 1230hours, after a lower opening.