BENGALURU, March 14 Reuters Indian shares rebounded on Thursday, recovering some of the losses from the previous session, led by a rally in energy stocks, as investors awaited the highly anticipated results of stress tests on certain mutual funds schemes.

The bluechip NSE Nifty 50 index rose 0.68 to 22,146.65, while the BSE Sensex gained 0.46 to 73,097.28. They had lost 1.5 and 1.2, respectively, in the previous session.

The broader, more domesticallyfocussed small and midcaps, climbed 3.45 and 2, respectively, recouping some losses from Wednesday.

They have lost 11.4 and 5.8, respectively, from their record highs on Feb. 8, compared to the 2 rise in Nifty.

Many market participants had attributed the broader market rally over much of 2023 and early 2024 to investors disregarding fundamentals. The country39;s markets regulator on Monday, referred to it as froth.

The intention of the Securities and Exchange Board of India is absolutely fair, but the timing and the market reaction were not helpful for sentiment, said Deven Choksey, managing director of DRChoksey Finserv.

Investors await stress test results of small and midcap mutual funds, set to be disclosed by mutual fund managers from Friday, which will gauge the funds39; resilience to sudden redemption pressures.

Despite the pressure on small and midcaps, availability of largecaps at compelling valuations and India39;s macroeconomic strength will continue supporting the markets, Choksey added.

Earlier in the…