Snapping a three-day falling streak, the Bombay Stock Exchange benchmark Sensex gained nearly 65 points on Tuesday as investors indulged in buying at lower levels in blue-chip stocks led by auto.

The Sensex, which had lost nearly 6 per cent in the last three days, rebounded to close higher by 64.82 points at 15,074.59, after oscillating between 15,218.65 and 14,864.23 during the day.

Similarly, the 50-share National Stock Exchange index rose by 33.70 points to 4,471.35. The Nifty shot up to touch the day's high of 4,510.80 and a low of 4,398.90.

The recovery was mostly due to a rise in stocks of auto, realty and metals. The auto sector index, which rose by 3.07 per cent to 2,537.48, was the biggest gainer on aggressive buying by funds on the basis of reports that the automobile industry posted healthy growth in July.

The industry data revealed domestic passenger car sales in July went up to 1,15,067 units from 87,901 units in the same month last year.

Software exporters paced gains after Goldman Sachs upgraded its outlook on the country's information technology services sector. Tata Consultancy Services, the biggest software exporter, rose 2.85 per cent after Goldman Sachs more than doubled the stock’s target price.

After auto, realty was the best performer, rising 2.14 per cent to 3,693.02.

The metal index rose by two per cent at 12,305.66 as Hindalco Industries, the biggest aluminum producer, rose 3.38 per cent to Rs 105.45 after UBS raised it to "buy" from "sell". The brokerage also increased its target price.

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