Cement shares help Sensex recovery

MUMBAI, FEB. 20. Sustained buying of cement counters and short- covering in select traditional brick and mortar shares helped the Sensex to close in positive terrain on the Bombay Stock Exchange today, registering a modest gain of 8.57 points at 4359.22.

Dealers said that investors have adopted a defensive strategy by buying old-economy shares in cement, steel, public sector undertakings and refinery sectors ahead of the Union Budget.

However, new economy counters, after an overnight smart recovery, reacted downwards on profit-taking in the absence of any follow- up support. A lack of direction from the Nasdaq market, which was closed on Monday also partly affected sentiment.

The BSE bellwether index opened better at 4360.16 and fluctuated irregularly in a very narrow range of 4382.36 and 4342.61 before closing at 4359.22 against yesterday's close of 4350.65, a small gain of 8.57 points. The BSE-100 index, however eased by 3.50 points to 2229.88 compared with previous close of 2233.38.

Fast moving consumer goods giant and heavily weighted, HLL was also in the limelight on renewed buying by institutional investors which partly aided the Sensex rise.

FIIs, which were reportedly net buyers last week, continued the shopping spree by picking up select old economy shares.

Power and fertilizer shares were also in keen demand on expectations of some concessions in the upcoming Union Budget, scheduled on February 28. In the specified group, 61 including 16 index based scrips registered gains while 81 others recorded losses.

- PTI

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