Govt Seeks To Infuse Confidence To Soothe Markets

The BSE Sensex Monday lost 1.69 per cent (47.53 points) to close at 2,765.37, off its intra-day low of 2,718.41, on selling pressure as uncertainties gripped the market following the US air attacks on Afghanistan. On the National Stock Exchange (NSE), the S&P CNX Nifty settled at 901.95, down 1.38 per cent (12.65 points).

Technology stocks, which derive a major part of their revenues from the US, were the worst hit on fears of a slowdown in business in the aftermath of the US attacks.

However, some of the public sector stocks were firm. The market breadth was negative, as losers outnumbered gainers. On the BSE, 577 stock declined including 130 specified stocks and 436 stocks advanced.

Technology giant Infosys Technologies (down 3.85 per cent to Rs 2,391.80) recovered from its intra-day low of Rs 2,299 on selective buying. Other technology stocks including Satyam Computer (down 5.05 per cent to Rs 119.45) and NIIT (down 4.05 per cent to Rs 99.45) lost ground. Media giant Zee Telefilms (Rs 70.80) hit the 10 per cent lower limit of the circuit breaker amid fear of a delay in the induction of a strategic partner by the company.

Pharma stocks like Dr Reddy, Cipla and Ranbaxy were highly volatile. Reliance Industries rose from an intra-day low of Rs 242 to Rs 255.55 before settling at Rs 253.40, up 0.52 per cent over its previous close.

On other hand, public sector stocks such Hindustan Petroleum (up 2.16 per cent to Rs 116) and MTNL (up 0.08 per cent to Rs 127.35) ended in positive zone on selective buying. Even CMC (Rs 256.35) hit the 20 per cent upper limit of the circuit breaker.

Most Asian and European markets remained weak. Hong Kong