Stocks in India put in a strong showing Friday, bouncing of a six-month low established in the previous trading session. The Bombay Stock Exchange Sensitive Index roared higher by 403.17 points, or 2.6%, to 15,760.52.
Value investors helped lead the rally in the Far East as market players continue to pick through the rubble to find high-quality stocks on sale. India's benchmark index has plunged more than 20% since January.
"Today's rise was more of a technical bounceback. Markets are still nervous and the outlook remains more negative than positive," said Nipun Mehta, chief executive at Unitis Tower Wealth Advisors.
The bounce overseas did little to help Indian ADRs on the U.S. stock exchanges. Indian closed-end management funds and exchange-traded funds fell across the board with The India Fund (IFN - Get Report) dropping 4.9% to $43.72; Morgan Stanley India Investment Fund (IIF - Get Report) losing 3.7% to $37.26; and WisdomTree Trust (EPI) falling 2.9% to $22.27.Indian automaker Tata Motors (TTM) is looking to open up a vehicle assembly plant in South Africa, according to ndtvprofit.com. Tata plans to invest $100 million into the project and looks to have it up and running by 2010. ADR shares of Tata Motors fell 2.2% to $15.43. One of the few Indian ADRs to advance was information technology firm Patni Computer Systems (PTI). ADR shares of Patni traded higher by almost 3% to close at $10.69. Leading the trend lower among the Indian ADRs were Mahanagar Telephone Nigam (MTE), trading off 7% to $4.81; Tata Communications (TCL), falling 5% to $22.88; and Icici Bank (IBN), finishing down 4.5% to $40.34. Be sure to check out the Far East Portfolio at Stockpickr.com every night to find out which stocks in India and China are making big moves and announcing major news.