The Hindu : Business : Sensex surrenders initial gains

Online edition of India's National Newspaper
Friday, Jun 26, 2009
ePaper | Mobile/PDA Version

Business

Business

Sensex surrenders initial gains

Weak monsoon and European cues impact

MUMBAI: Prospects of weak monsoon, poor showing by ONGC in the fourth quarter and weak European cues dragged down the Bombay Stock Exchange sensitive index, Sensex, by 77 points as investors squared off positions on the concluding day of the derivatives series.

The market surrendered its initial gains due to fairly heavy selling from foreign institutional investors (FIIs) amid the forecast of below-normal monsoon.

The BSE 30-share index closed at 14345.62, a net loss of 77.11 points from its previous close. It touched an intra-day high of 14578.46.

The National Stock Exchange’s 50-share Nifty dropped by 51.10 points or 1.19 per cent to close at 4241.85.

The market continued to witness a high level of volatility as investors rolled over positions as also squared off their long-outstanding holdings at the end of the June contract of the futures and options segment.

FIIs have pulled out more than Rs. 1,747 crore so far in the week.

Brokers attributed the early surge to firm Asian cues. Asian indices ended up by about 1-2 per cent after the Federal Reserve kept its fund rate unchanged in its two-day meeting.

Realty and bank stocks on the BSE, however, closed in the green on renewed hopes of reforms in the financial sector.

Tata Motors registered the day’s biggest fall of 5.43 per cent.

Rupee ends lower

The rupee ended five paise lower at 48.60/61 against the dollar on Thursday on emergence of month-end demand. The rupee resumed steady at 48.55/57 a dollar against Wednesday’s close of 48.55/56 and hovered in a range of 48.73 and 48.49 intra-day.

Dealers at the interbank foreign exchange market said the domestic currency generally moved in tandem with the local equity market and also came under pressure at the fag end of the session as equity markets traded in the red. — PTI

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

Business

News Update

Stories in this Section