sensex bounce back in the last week May12-16

India`s benchmark index Sensex made a smart come back by posting more than 4% rise over the week helped by encouraging signs in global markets, heavy investments from overseas buyers and rally in metal stocks. Hindalco Industries, Reliance Communication(R Com), Reliance Energy(REL), Ranbaxy Laboratories and ICICI Bank led the gains.
Broad-based rally in the market was led by metal, IT, consumer durable, tech and banking shares.BSE mid-caps and small-caps climbed 1.96% and 1.35% respectively over the week.Despite several attempts to control rising prices by government, inflation is no mood to stop rising, which soared to a 3 1/2 year peak at 7.83% fuelled by high prices of food items and manufactured products, thereby, pressurizing the central bank to raise borrowing costs further to tame prices.