Funds dump Hindustan Lever after downgrade

DALAL STREET SPIKES

Index heavyweight Hindustan Lever continue to slide lower pulling the broader sensex down. The stock in Thursday's trading lost 2.81 per cent to close at Rs 129.80 on aggressive selling by funds.

According to market sources, the counter witnessed selling pressure after a leading foreign broking firm Thursday downgraded the stock and said that growth in FMCG industry is still very sluggish.

Further, HLL will continue to face fresh challenges from private and foreign labels after regional and local brands.

The stock of FMCG major has been witnessing selling pressure over the past few days on concerns of future growth inspite of anticipation of good monsoon. The counter witnessed volumes of 12.24 lakh shares on the BSE.

The stock has lost more than 40 per cent from its high of Rs 215 on January 2, 2004 to Thursday's close of Rs 129.80.