Fund selling casts shadow

STOCK REPORT

Shares ended 1 per cent down on Thursday as foreign funds sold index heavyweights, dealers said. Oil retailers were the worst hit as crude oil prices rebounded to $67.78 a barrel on New York Mercantile Exchange.

Gains in select auto stocks provided some support to indices. Investors booked profits because of the nearly 10% rise in indices over the past one month, dealers said.

The Bombay Stock Exchange Sensex closed at 11853.85, down 79.36 points or 0.7 per cent from Wednesday.

Intraday, it moved between 11815.43 and 11921.30. The National Stock Exchange Nifty closed 3454.55, down 22.70 points or 0.7 per cent.

Intraday, it moved between 3438.80 and 3478.85. Turnover on both the exchanges together was roughly Rs 9,400 crore, as against Rs 9,300 crore on Wednesday.

On BSE, losers led gainers marginally 1,285:1,257. Dealers said weak cues from overseas markets had caused foreign funds to sell Indian shares.

Foreign funds sold Rs 69.60 crore of Indian shares on Tuesday. So far in September, they have bought Rs 610 crore.

Jet Airways, which rose 12 percent to Rs 662, was the top Nifty gainer.

Jet's accounts will remain closed during Sep 9-20 for payment of dividend. The company will pay a dividend of 6 rupees per share.

Housing Development Corp was up 3 per cent at Rs 1,335 as Union Cabinet on Thursday approved the bank's real estate fund to raise Rs 3,240 crore from overseas. Sentiment for the stock was also up, after the bank Wednesday proposed to invest up to Rs 70 crore in ailing United Western Bank.

Among auto stocks, Maruti Udyog was up 2 per cent at Rs 913, and Tata Motors was up 1 per cent at Rs 898.

Oil retailers were major losers after crude oil prices rebounded from a five-month low ahead of a US government report later on Thursday that is expected to show oil supplies fell last week.

BSE Oil and Gas Index, down 1 per cent, was the worst hit among BSE indices.