Sensex trims losses, still down by 44 pts

The Sensex resumed lower at 16,570.51 and dropped further to a low of 16,553.47 due to heavy selling pressure. However, it recovered to 16,666.58 on fresh buying in select counters before quoting at 16,624.25 at 1030hrs, still showing a net loss of 43.76 points or 0.26 per cent from its last close.

The NSE 50-share Nifty also moved down 18.10 points or 0.36 per cent to 5,036.00 at 1030hrs.

Realty stocks fell for the second straight day on profit booking after last week's strong gains triggered by hopes that the Reserve Bank will cut interest rates at mid-quarter monetary policy review on June 18.

Major losers were Wipro (2.09 pc), Dr Reddy's Lab (1.71 pc), Tata Power (1.35 pc), ITC (1.23 pc), SBI (1.09 pc) and Jindal Steel (1.01 pc). However, Sterlite was up 1.53 pc, Hindalco (1.37 pc) and M&M (0.84 pc).

Asian stocks fell in early trade, as initial hopes over bailout of Spain's banks faded. Key indices in China, Hong Kong, Japan, South Korea, Taiwan, Indonesia and Singapore were down by up to 1.07 per cent.