The Hindu : Business : Market turns weak after early rally

Online edition of India's National Newspaper
Wednesday, Aug 18, 2004

Business

Business

Market turns weak after early rally

MUMBAI, AUG. 17. After the initial price rally, the market later turned weak and once again, ended flat today on late profit booking by day-traders and retail investors.

The BSE benchmark 30-share index which had risen to the intra-day high of 5148.53, later turned weak due to selling pressure and ended at 5102.94 against yesterday's close of 5102.37.

Initially, the market seemed to be well supported from reports about the government's likely decision to cut customs and excise duties on major petroleum products across-the-board to quell inflationary trends, brokers said. Brokers also attributed revival of buying support to the market being in oversold zone.

The market witnessed fairly heavy selling pressure from day-traders, retail investors and operators, who availed themselves of the opportunity to book profits at the day's higher levels. Foreign institutional investors were believed to have slowed down activity and generally remained sidelined.

The market had been under pressure during last week in the light of soaring crude oil prices and the prevailing high inflation rate coupled with negative activity by institutional investors, mainly FIIs.

Printer friendly page
Send this article to Friends by E-Mail

Business