The low closing of Infosys Technologies on Nasdaq seems to have adversely affected the domestic market. Besides, the Securities and Exchange Board of India's (Sebi) move to enforce additional margins and the measures expected in the Union budget seem to have taken its toll on the BSE Sensex.
The Sensex ended the day at 5,803.19, down 121.12 points, while the S&P CNX Nifty closed with a loss of 2.40 per cent or 41.95 points at 1,702.55. However, foreign institutional investors (FIIs) emerged net buyers to the tune of Rs 98.90 crore in select pharmaceutical counters.
Intra-day movements
The BSE Sensex opened lower at 5,791.31 points against its previous close of 5,924.31. On selling pressure, the index touched an intra-day low of 5,774.32 points and later recovered marginally. However, strong selling at the Infosys counter compelled the bourse to close the day with a loss of 121.12 points at 5,803.19.
The other broad indices like the BSE-100 and BSE-200 did not show much losses. Both the indices ended the day with a marginal change of 6.93 and a negative 0.59 points at 3,475.31 and 747.55, respectively. The BSE-500 closed with a gain of 1.19 points at 2,237.94. The National Stock Exchange dipped sharply on the last day of settlement. The S&P CNX Nifty opened at 1,744.50 and immediately touched a low of 1,694.45. It finally closed the day with a loss of 41.95 points at 1,702.55.
The S&P CNX 500 and the S&P CNX Defty also ended the day with losses. Both the indices closed with a loss of 2.53 and 33.30 points at 1,541.39 and 1,352.45 points, respectively. However, the CNX Nifty Junior ended the day with a 2.90 per cent or 137.55 point gain at 4,611.80, against its previous close of 4,749.35 points.
Advances and declines ratio
Of the 139 stocks traded at the forward group on BSE, there were 99 declines and only 38 gainers. Similarly, at the B1 and B2 category there were 583 and 592 declines as compared with 277 and 544 gainers, respectively. On the NSE, there were 1,274 declines and 859 gainers, while the 43 and 38 stocks from the NSE-50 and NSE-Midcap registered losses. The aggregate volume on BSE was lower at Rs 5,198.37 crore against Rs 5,961.25 crore on NSE.
Spotlight
Most 10 scrips with additional margins ended the day with gains. Himachal Futuristic gained ahead of its private placement of eight million shares. Galalda Power and Telesystems Ltd was seen being accumulated on positive corporate developments. According to marketmen, the company seems to have bagged a big telecom order.
Considering the dismal performance of pharmaceuticals and fast-moving consumer goods majors, most fund managers decided to exit from these counters. Gujarat Gas, Dabur, NIIT, Mahindra and Mahindra, ACC, State Bank of India, BHEl, Britannia, Rhone-Poulenc, SmithKline Beechan Conusmer, Siemens, Knoll Pharmaceuticals, Reckitt Colman, Colgate and P&G witnessed substantial selling pressures.
